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CASE 1:
Surgicon Pvt. Ltd is one of the leading surgical companies that manufactures fine quality of surgical instruments and accessories in Pakistan and operates in the highly competitive surgical instrument industry. Suppose Price for its surgical scissors is stable at Rs.70 each. This means that price (P) = Marginal revenue (MR) = 70 in this market. Engineering estimates indicate that relevant total cost function for the surgical instrument is given as:
TC = 80,000 + 10Q + 0.003Q2


REQUIREMENTS:
Keeping in view the above information and by using Formulas and Stepwise Procedure:
A. Find marginal cost (MC) function
B. Find average cost (AC) function
C. Calculate the output level (Q) that will maximize profit of the company
D. Calculate maximum Profit of the company


CASE 2:
Suppose manager of Surgicon Pvt. Ltd wants to determine the relationship between the firm's independent variable (X) and its dependent variable (Y). The manager wants to test the hypothesis that the relationship between these two variables exists statistically significant or not? And, furthermore, wants to estimate the strength of the relationship. Some information is given below:
Σ (Yt - t) 2 = 75.3820 n = 10 k = 2
Σ (Xt - )2 = 20 = 3.53


REQUIREMENTS:
Using the above information and by using Formulas and Stepwise Procedure:
A. Calculate the value of t-statistics.
B. Check its significance against critical value of t at 5% level of significance i.e. 2.306.

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Replies to This Discussion

to find Q

MR = MC

put MR value which is given in the question and also put MC function and then calculate for Q

Q=-7993 A RAHA HA KIA YA OK HA 

profit ki ratio kis tarhan defin kar rahy hain

kis tarhan 53347 aa rha haiy

53347 yah kasay aya ha

yara pl share complete solution, only then we can discuss the problem areas......other wise all will submit separate wrong solutions

Critical value of t at 5% level of significance:

The value of t = 5.19 which exceeds the tabular value t = 2.306 for the 5 % level of significance with 8 df, the null hypothesis is rejected that there is no relationship between X and Y, and the alternative hypothesis accepted that there is significant relationship between X and Y.

This significant relationship between X and Y at the 5% level mean that we are 95 % confident that such a relationship exist.

assignment plz sab khud check kar lijye ga ke solution correct ha ya nahi

Attachments:

Anybody please share solution in word file

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