You operate a carwash with one machine. When you charge $10 per wash you expect to have 20,000 customers per year. For every 10c reduction in price you expect to add 250 customers per year. Your fixed cost is $100,000 per year and your variable cost is negligible. Your carwash is open 300 days a year 10 hours per day. It takes about 5 minutes to wash a car. Assume Poisson arrival and exponential service time. You consider pricing your car wash between $8 and $10 in 10c increments in order to maximize profit. Note that the arrival rate depends on the price you charge. 1. What price should you charge to maximize your profit disregarding customers’ waiting time in line?
2. Suppose you lose 2c per minute of waiting in line per customer in good will (future business). How much should you charge to maximize profit? What will be your profit? How many customers will you serve? You must use data table for this question.
3. Find the best price by using Solver

Suppose the marginal damage and marginal benefit curves in a polluted neighborhood are md = p/3 and mb = 4 – p. also, suppose that transactions costs are low, so that the consumers and the firm can bargain. we saw that in this case, the socially-optimal level of pollution is achieved. start by computing the socially-optimal p. then, for each of the following cases, compute the amount of money transferred through the bargaining process, and indicate who pays whom (i. e., whether consumers pay the firm, or vice versa). also, compute the gains to each party relative to the status quo (i. e., the starting point of the bargaining process).a)consumers have the right to clean air; firm is dominant in the bargaining process. b)consumers have the right to clean air; consumers are dominant in the bargaining process. c)firm has the right to pollute; firm is dominant in the bargaining process. d)firm has the right to pollute; consumers are dominant in the bargaining proces

You are president of a large corporation. at a typical monthly meeting, each of your vice presidents gives standard area reports. in the past, these reports have been good, and the vps seem satisfied about their work. based on situational approach to leadership, which leadership style should you exhibit at the next meeting?

Faldo corp sells on terms that allow customers 45 days to pay for merchandise. its sales last year were $325,000, and its year-end receivables were $60,000. if its dso is less than the 45-day credit period, then customers are paying on time. otherwise, they are paying late. by how much are customers paying early or late? base your answer on this equation: dso - credit period = days early or late, and use a 365-day year when calculating the dso. a positive answer indicates late payments, while a negative answer indicates early payments. a. 21.27b. 22.38c. 23.50d. 24.68e. 25.91b