The budget for FY2019-2020 has seen an increase in both direct and indirect
taxes. On one hand, your disposable income will shrink while on the other your
purchases will cost more. The Federal Cabinet has decided that Finance Bill for
the next fiscal year will include measures to prevent illicit trade of tobacco and
impose 'Health Tax' on tobacco and carbonated drinks. Pepsi is a carbonated
manufactured soft drink manufactured by Pepsi co. Pepsi is having 65% market
share in Pakistan that is much more as compared to other competitors. Suppose
the linear demand function and total cost function of Pepsi is given as before the
imposition of tax.
a) Find the profit maximizing price, quantity sold and total profit of Pepsi.
b) Suppose Government of Pakistan decides to levy a health tax of Rs.5 per
unit on carbonated drinks. What will happen to price, quantity sold and
total profit of Pepsi after imposition of this tax?
+ http://bit.ly/vucodes (Link for Assignments, GDBs & Online Quizzes Solution)
+ http://bit.ly/papersvu (Link for Past Papers, Solved MCQs, Short Notes & More)+ Click Here to Search (Looking For something at vustudents.ning.com?) + Click Here To Join (Our facebook study Group)
any helping material plz post....
Please Discuss here about this GDB.Thanks
Our main purpose here discussion not just Solution
We are here with you hands in hands to facilitate your learning and do not appreciate the idea of copying or replicating solutions. Read More>>
Discussed & be touched with this discussion. After discussion a perfect solution will come in a result at the end.
P.S: Please always try to add the discussion in proper format title like “CS101 Assignment / GDB No 01 Solution & Discussion Due Date: ___________”
Share below link with friends for solution & Discussion. A Single link for help in your education.
See Lecture 12 Example 5 for solution... Its almost the same...
plz agr ap k pass eco601 ka gdb ka solution hai to send kr dain plz