Exam (elaborations)
MGT 103 STUDY FINAL Questions and Answers (100% Pass)
- Course
- Institution
MGT 103 STUDY FINAL Questions and Answers (100% Pass)
[Show more]
Content preview
1|Page | © copyright 2024/2025 | Grade A+MGT 103 STUDY FINAL Questions
and Answers (100% Pass)
6 Steps in setting price
✓ (1) identify pricing objectives and constraints, (2) estimate demand
and revenue, (3) determine cost, volume, and profit relationships, (4)
select an approimate price level, (5) set list or quoted price, (6) make
special adjustments to list or quoted price
Fundamental revenue concepts
✓ Demand Curves and Revenue = (Change in Quantity Demanded) /
(Change in Price)
Break even point
✓ the number of sales a business must achieve to generate a zero
operating profit, calculated as fixed costs divided by the contribution
margin
Break Even Analysis
✓ total fixed costs / (price of one unit-variable costs of one unit)
Master01 | October, 2024/2025 | Latest update
, 1|Page | © copyright 2024/2025 | Grade A+
Revenue
✓ Revenue is the money you collect
✓ for things you sell. Revenue is equal
✓ to Unit Sales x Price of each unit.
✓ A sports franchise has a number of
✓ revenue sources, including: ticket sales,
✓ concessions, licensing and sponsorships.
Total Revenue
✓ Price x Quantity
Average Revenue
✓ Total revenue received divided by the number of units sold. Usually,
price is equal to average revenue.
Marginal Revenue
✓ The change in total revenue that results from the sale of 1 additional
unit of a firm's product; equal to the change in total revenue divided
by the change in the quantity of product sold
Movement Demand Curve
Master01 | October, 2024/2025 | Latest update
, 1|Page | © copyright 2024/2025 | Grade A+
✓ When the price of a good increases (decreases), the quantity
demanded of a good decreases (increases), other factors constant
(ceteris paribus) and this results in a...
Shift Demand Curve
✓ The change that takes place in a demand curve corresponding to a
new relationship between quantity demanded of a good and price of
that good. The shift is brought about by a change in the original
conditions.
Price elasticity
✓ Is the demand of an economic measure to how much the quantity of
a good demanded changes when the price changes. Equation:
percentage change in quantity sold divided by the percentage
change in price (% change in quantity(demand) sold/% change in
price)
Demand-Oriented approaches
✓ Skimming, penetration, prestige, pricing lining, odd-even, target,
bundle, yield management
Skimming pricing
Master01 | October, 2024/2025 | Latest update
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller ExamArsenal. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $12.49. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
84866 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy study notes for 14 years now