A Small Private University Normally Charges the Same Price -$200-Per

question 4

Essay

A small private university normally charges the same price -$200-per credit-hour for all courses and for all students.While the university is pretty near capacity in the fall and spring,it finds that its classrooms are only about 60 percent occupied during the summer session.A student of operations management wonders if revenue management might be useful to both the university and its students alike.This student,with help from some economics majors,estimates a demand curve for summer course enrollment.Points on this demand curve include 9000 credit-hours at the current rate of $200,12,000 credit hours at $180,15,000 credit-hours at $160,and 18,000 credit-hours at $140.Based on this demand curve,what price point would best serve the university,if its objective is the greatest revenue for the summer session?

Distinguish between purchase allowances, sales returns, and other adjustments.

Calculate and interpret financial ratios related to liquidity and profitability.

Understand the influence of inventory management systems on financial ratios.

Differentiate between various expense categories in accounting.

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Definitions:

Second-Order Operations

Second-order operations refer to the ability to think about thoughts themselves, involving complex cognitive processes like reflection and abstraction, often developing during adolescence.

Abstract Operations

A stage of cognitive development according to Piaget, characterized by the ability to think logically about abstract concepts and hypothetical situations.

Concrete Operations

A stage in cognitive development, as described by Piaget, where children gain the ability to think logically about concrete, tangible objects and events.

Subjective Theory of Knowledge

The belief that knowledge and understanding are influenced by personal experiences, perspectives, and biases.