# managerial

The demand curve for haircuts at Terry Bernard's Hair Design is P=20-0.20Q where Q is the number of cuts per week and P is the price of a haircut. Terry is condering raising her price above the current price of \$15. Terry is unwilling to raise price if the price hike will cause revenues to fall. Should Terry raise the price of haircuts above \$15 Why or why not? Suppose demand for Terry's haircuts increases to P=40-0.40Q. At a price of \$15, should Terry raise the price of her haircuts? why or why not?"

1. 👍 0
2. 👎 0
3. 👁 823
1. The demand curve for haircuts at Terry Bernard's Hair Design is P = 20 - 0.20Q where Q is the number of cuts per week and P is the price of a haircut. Terry is considering raising her price above the current price of \$15. Terry is unwilling to raise price if price hike will cause revenues to fall. Should Terry raise the price of haircuts above \$15? Why or why not?

1. 👍 0
2. 👎 0

## Similar Questions

1. ### Economics

Determine whether each of the following would cause a shift in the aggregate demand curve, the aggregate supply curve, neither, or both. Which curve shifts, and in which direction? What happens to aggregate output and the price

2. ### Economics

Read the statement. Economists note that personal income rose by 5 percent last year. What impact will the change in personal income have on-demand? A. It will cause the demand curve to shift down. B. It will cause the demand

3. ### economics

Producer surplus is shown graphically as the area: under the demand curve and above the market price. under the demand curve and below the market price. above the supply curve and below the market price. above the supply curve and

4. ### economics

Given demand curve of the monopolist :Q=30-0.3P,& given the cost function C=2Q2+20Q+10, a)find the profit maximizing level of output &price b)determine the max possible profit. c)check for the 2nd order condition.

1. ### economics

) The demand curve for haircuts at Terry barnyards Hair Design is P=20-0.20Q Where Q is the number of cuts per week and P is the price of a haircut. Terry is considered raising her price above the current price of \$15. Terry is

2. ### Economics

3. Suppose the Clean Springs Water Company has a monopoly on bottled water sales in California. If the price of tap water increases, what is the change in Clean Springs' profit-maximizing level of output, price, and profit?

3. ### Microeconomics

Larry, Moe, and Jo run the only saloon in town. Larry wants to sell as many drinks as possible without losing money. Jo wants the saloon to bring in as much revenue as possible. Moe wamts to make the largest possible profits.

4. ### Economics: Market Equilibrium

Question: The market for shoes in 1997. Between 1997 and 1998, the equilibrium price of shoes remained constant, but the equilibrium quantity of shoes decreased. From this, you can conclude that between 1997 and 1998, the supply

1. ### Algebra

The owner of a hair salon charges \$20 more per haircut than the assistant. Yesterday the assistant gave 12 haircuts. The owner gave 6 haircuts. The total earnings from haircuts were \$750. Hw much does the owner charge for a

2. ### economics

Think about how each scenario would affect the price of khaki pants. a.A new technology reduces the time it takes to make a pair of khaki pants. b.The price of the cloth used to make khaki pants falls. c.The wage rate paid to

3. ### Economics

Consider a single price monopoly that faces a market demand curve for a good is given by the equation 𝑃=100−.1𝑄 and the total cost function is given as 𝑇𝐶=1000+20𝑄+.4𝑄2. a. What is the total fixed cost for this

4. ### Macro economics

5. The problem of determining what goods and services society should produce: A.exists because we can produce more than we need or want. B.exists because there are not enough resources to provide all the goods and services that