Question: Question 1: PLEASE SHOW ALL WORK Suppose you are told that your companys costs structure looks like the following: Cost (Q) = 2SF*(1000 100Q +

Question 1: PLEASE SHOW ALL WORK

Suppose you are told that your companys costs structure looks like the following:

Cost (Q) = 2SF*(1000 100Q + 4Q²)

SF = Seasonal Factor (decimal) Takes on values from 0-2 by 0.2 (0, 0.2, 0.4, 1.8, 2.0)

Q = Quantity of Units Sold

If you are told that SF = 1.0 find the following.

(a) What is the number of units needed to be sold in order to have costs equal to $200,000?

(b) If you are told that SF = 0.4, illustrate in an excel spreadsheet what projected costs would be for 0 to 500 units going by 25 units.

(c) Finally, create a scatterplot of your results in part (b). Make sure to label the scatterplot. What does this show you about costs as you continue to produce more units?

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