Question

Build a spreadsheet model in Excel to calculate the profit/loss for a given demand. What profit can be anticipated with a demand of 3,700 copies? For subtractive or negative numbers, use a minus sign.

Answer 1

To calculate the profit/loss for a given demand in Excel, input the relevant information and subtract the total cost from the total revenue. However, the provided information does not allow for an accurate estimation of the profit with a demand of 3,700 copies.

Step-by-step explanation:

1. To build a spreadsheet model in Excel to calculate the profit/loss for a given demand, you would need to input the relevant information such as the quantity demanded, selling price, and production cost. In this case, the demand is 3,700 copies.
2. Using the given data from Table 8.1, you can calculate the profit/loss by subtracting the total cost from the total revenue. For example, at a quantity of 5 units, the total revenue is $125 and the total cost is $130, resulting in a loss of $5.
3. To determine the profit with a demand of 3,700 copies, you can use the regression line or the profit curves to estimate the profit figure. Unfortunately, the provided information does not specify the actual demand curve or provide the necessary data to plot the regression line, so a more accurate estimate cannot be given.