Do you need this or any other assignment done for you from scratch?
We have qualified writers to help you.
We assure you a quality paper that is 100% free from plagiarism and AI.
You can choose either format of your choice ( Apa, Mla, Havard, Chicago, or any other)
NB: We do not resell your papers. Upon ordering, we do an original paper exclusively for you.
NB: All your data is kept safe from the public.
13-31. The Alfredo Fragrance Company produces only one product, a perfume called
13-31. The Alfredo Fragrance Company produces only one product, a perfume called Hint of Elegance. Hint of Elegance consists of two secret ingredients blended into an exclusive fragrance, which is marketed in Zurich. An economic expression referred to as the Cobb-Douglas function describes the production of Hint of Elegance as follows:
Where X is the amount of perfume produced.
The company operates at a level where ingredient 1 is set daily at 25 units and ingredient 2 at 36 units. Although the price Alfredo pays for ingredient 1 is fixed at $50 per unit, the cost of ingredient 2 and the selling price for the final perfume are both probabilistic. The sales price for Hint of Elegance follows this distribution:
image 1 : attached below (SALES PRICE ($))
The cost for ingredient 2 is
image 2 : attached below (INGREDIENT 2 COST ($))
(a) What is the profit equation for Alfredo Fragrance Company?
(b) What is the expected profit to the firm?
(c) Simulate the firm’s profit for a period of nine days, using these random numbers from Table 14.5:
52, 06, 50, 88, 88, 53, 30, 10, 47, 99, 37, 66, 91, 35, 32, 00, 84, 57, 07.
(d) What is the expected daily profit as simulated in part (c)?
Answer precisely with explanation and answer.
Do you need this or any other assignment done for you from scratch?
We have qualified writers to help you.
We assure you a quality paper that is 100% free from plagiarism and AI.
You can choose either format of your choice ( Apa, Mla, Havard, Chicago, or any other)
NB: We do not resell your papers. Upon ordering, we do an original paper exclusively for you.
NB: All your data is kept safe from the public.
Place this order or similar order and get an amazing discount. USE Discount code “GET20” for 20% discount