At a price of $16, my profit per unit is?

Question

BlackTom AI · Accepted Answer

The question asks: 'At a price of $16, my profit per unit is?'.

First, note that there are no answer options provided to evaluate in a typical multiple-choice manner. Without a full list of choices, we cannot compare and eliminate alternatives in the standard way.

In general, the profit per unit is calculated as Profit per unit = Price per unit − Cost per unit. Here, the price is given as $16. To determine the profit, we would need the cost per unit.

If we rely on the accompanying answer field, which states '$6' as the correct answer, this implies a cost per unit of $10 (since 16 − 10 = 6). This is a consistent way to reconcile the given price and profit.

However, since no explicit cost or other options are provided in the question, we cannot independently verify the result from first principles beyond noting the relationship Profit = Price − Cost. If there were additional considerations (e.g., taxes, fees, or per-unit manufacturing costs different from listed cost), those would alter the calculation and could lead to a different profit figure.

In a complete multiple-choice setup, you would list all potential profit values as options and select the one that matches Price minus Cost, or, equivalently, identify the cost implied by the stated profit. Here, with Price = $16 and the stated profit of $6, the implied cost is $10. If any option conflicts with that, it would be incorrect given the stated numbers.

ECON&201 15109 Econ Practice - Perfect Competition

At a price of $16, my profit per unit is?

View Explanation

Log in for full answers

Similar Questions

In a consumer society, many adults channel creativity into buying things

Economic stress and unpredictable times have resulted in a booming industry for self-help products

People born without creativity never can develop it

A product has a selling price of $20, a contribution margin ratio of 40% and fixed cost of $120,000. To make a profit of $30,000. The number of units that must be sold is: Type the number without $ and a comma. Eg: 20000

Which of the following statement regarding cost is correct:

Under the assumptions used in cost-volume-profit analysis, as the activity increases:

The CVP and break-even analysis are supported by a range of important assumptions. Which of the following is not an assumption of the CVP:

The break-even point is that at which:

More Practical Tools for Students Powered by AI Study Helper

Homework AI Solver

Stylized AI Paper Writer

Plagiarism Checker Assistant

Citation AI Academic Writing Tool

In-Class Translation Assistant

AI Note Generator

AI Quiz Answers

Past Exam Questions from University Test Bank

Smart Practice Assistant

Adaptive Practice

Making Your Study Simpler