Question

Given a demand for 11,000 computers, how would you calculate the estimated price per computer if the total cost is known?

a) Divide the total cost by the quantity demanded.
b) Multiply the total cost by the quantity demanded.
c) Divide the quantity demanded by the total cost.
d) Subtract the quantity demanded from the total cost.

Answer 1

To estimate the price per computer with a known total cost and demand for 11,000 computers, divide the total cost by 11,000. This gives the average price per computer.

Step-by-step explanation:

To calculate the estimated price per computer given the total cost and the quantity demanded of 11,000 computers, you should divide the total cost by the quantity demanded. This calculation can be represented by the formula:

Price per computer = Total cost / Quantity demanded

So the correct answer is a) Divide the total cost by the quantity demanded.

Using this method will give you the average cost for each individual computer, assuming that the cost is evenly distributed across all units.