You will consider only banking times, turnaround times, and maximizing aircraft productivity. You are continuing your consulting work for Wolverine Airlines. Wolverine has one hub located at Chicago O’Hare (ORD). It has two Boeing 737-700 aircraft that will be serving the following routes:ORD-SFO (2.5-hour flight time)ORD-SLC (1.5-hour flight time)ORD-IAD (2-hour flight time)Wolverine must use these aircraft to make one round-trip between ORD-SFO and two round-trips each for ORD-SLC and ORD-IAD. The minimum turnaround time Wolverine allocates for this aircraft is 45 minutes. Wolverine would like to take advantage of peak-time departures (08:00-09:00 and 17:00-18:00) on as many departures as possible. Bank times at ORD are as follows:10:00-11:30 AM13:00-14:30 PM16:00-17:30 PMFlights can begin as early as 06:00 and run until 22:00. The ORD-SFO round-trip flight may connect through another city if desired. InstructionsDraw a schedule map that maximizes aircraft productivity for both aircraft and covers the routes listed. The schedule map must use peak-time departures for at least two flights and must make connections during the bank times. You may create your schedule map by hand or digitally.

Consider the local telephone company, a natural monopoly. the following graph shows the monthly demand curve for phone services and the company’s marginal revenue (mr), marginal cost (mc), and average total cost (atc) curves. 0 2 4 6 8 10 12 14 16 18 20 100 90 80 70 60 50 40 30 20 10 0 price (dollars per subscription) quantity (thousands of subscriptions) d mr mc atc 8, 60 suppose that the government has decided not to regulate this industry, and the firm is free to maximize profits, without constraints. complete the first row of the following table. pricing mechanism short run long-run decision quantity price profit (subscriptions) (dollars per subscription) profit maximization marginal-cost pricing average-cost pricing suppose that the government forces the monopolist to set the price equal to marginal cost. complete the second row of the previous table. suppose that the government forces the monopolist to set the price equal to average total cost. complete the third row of the previous table. under average-cost pricing, the government will raise the price of output whenever a firm’s costs increase, and lower the price whenever a firm’s costs decrease. over time, under the average-cost pricing policy, what will the local telephone company most likely do

Solomon chemical company makes three products, b7, k6, and x9, which are joint products from the same materials. in a standard batch of 320,000 pounds of raw materials, the company generates 70,000 pounds of b7, 150,000 pounds of k6, and 100,000 pounds of x9. a standard batch costs $3,840,000 to produce. the sales prices per pound are $10, $14, and $20 for b7, k6, and x9, respectively. (a) allocate the joint product cost among the three final products using weight as the allocation base. (b) allocate the joint product cost among the three final products using market value as the allocation base. (c) allocate the joint product cost among the three final products using weight as the allocation base.

What would not cause duff beer’s production possibilities curve to expand in the short run? a. improved manufacturing technology b. additional resources c. increased demand