3E Economics par. 5.1

• Economie
• Middelbare school
• vwo
• Leerjaar 3

Par. 2.3 assignment 6b
Which calculation is correct?

1. p = 2.500 / 150
2. p = 2.500 / 250
3. p = 3.500 / 150
4. p = 3.500 / 250

Par. 2.3 assignment 13b

1. 20 million
2. 40 million
3. 60 million

Par. 2.3 assignment 14
At € 8,- Germany has a ...

1. excess demand
2. excess supply

Price including VAT € 48,95
Price excluding VAT?

1. 38,67
2. 40,45

In profit calculations we always have to use the price ...

1. excluding VAT
2. including VAT

Profit calculations

Sales = amount of goods sold

Turnover = Sales x Selling price

( use Selling price excluding VAT )

Profit calculations

Purchase value = Sales x Purchase price

( use Purchase price excluding VAT )

Gross profit = Turnover - Purchase value

Profit calculations

Net profit = Gross profit - Operating costs

Examples operating costs:

- Wages

- Depreciation charges

- Rent

- Advertising costs

Assignment gross- and net profit

10 minutes

Assignment gross- and net profit

1 > 15.400                                     2 > 3.500

3 > 29,4%                                      4> 22,7%

5 > 1.430                                        6 > 9,3%

7 > 14.700                                       8 > 4.200

9 > 2.450                                           10 > 171,3%

Par. 5.1 assignment 5

1. Turnover € 4.800 Purchase value € 3.200
2. Turnover € 8.000 Gross profit € 3.200
3. Turnover € 8.000 Gross profit € 4.800
4. Purchase value € 4.800 Gross profit € 3.200

Par. 5.1 assignment 7

1. A 8.281 - 1.109 B 1.109 - 1.020
2. A 8.281 - 1.109 B 1.109 + 1.020
3. A 8.281 + 1.109 B 1.109 - 1.020
4. A 8.281 + 1.109 B 1.109 + 1.020

Hw.

5.12a> No, all customers pay the same price

5.12b> Q = -2 x 300 + 1.200 = 600

5.12c> Turnover = 600 x € 300 = € 180.000,-

5.13
How many people want to buy a ticket at € 200,- (1)
How many people want to buy a ticket at € 400,- (2)

1. 1> 400 2> 400
2. 1> 400 2> 800
3. 1> 800 2> 400
4. 1> 800 2> 800

Hw.

5.13a> a plane ticket is personal and has your name on it, so you cannot resell it

5.13bcd> Turnover business people = 400 x € 400 = € 160.000

Turnover elderly,schools = 400 x € 200 = € 80.000

5.13ef> Total turnover increased to € 240.000,- because of the price discrimination

Costs

Fixed costs <-------------------> Variable costs

Do not depend on turnover                          Depend on turnover

F.e. Rent                                                  F.e. raw materials

Fixed

Variable

rent building

wage temp

raw materials

wage manager

interest

Assignment schedule costs ( 10 minutes )

q	TFC	TVC	TC	CpP	TR	TP
0
100		5.000
200					120.000
300
400			200.000

Assignment schedule costs

q	TFC	TVC	TC	CpP	TR	TP
0	180.000	0	180.000	-	0	-180.000
100	180.000	5.000	185.000	1.850	60.000	-125.000
200	180.000	10.000	190.000	950	120.000	-70.000
300	180.000	15.000	195.000	650	180.000	-15.000
400	180.000	20.000	200.000	500	240.000	+40.000

Break even point

Price per product € 600,-

Fixed costs € 180.000,-, Variable costs per product € 50,-

Revenue = 600q

Costs = 50q + 180.000

Break even point

600q = 50q + 180.000

550q = 180.000

q = 327,2 -> 328

Or 

180.000 / ( 600 - 50 ) = 327,2 -> 328

Break even point

TR = TC

Or 

fixed costs / ( price - variable costs ) 

And always round of upwards to the next number

Hw.

Par. 5.1 Assignment 14