I have completed this assignment. However there were some changes that needed to be made. My professor has outlined the changes in the power point. The grading rubric is also within the powerpoint. I used the wrong excel sheet in the beginning, and i am now attaching the correct one. Please review slide numbers 1,2,6,9,11,14 and make necessary corrections. Please use the attached excel.
Remarks from Professor-
Deliverable 6 asked that you evaluate the profit maximizing quantity and price for your product to submit to your manager. You were given an Excel file with data to be used to calculate ATC, AVC, MC. You were then asked to use that information to support your discussion of Profit Maximization and Profit/Loss, shutdown.
I have included a list on the second slide of your presentation showing you were you included the necessary information, where the information was not correct, or it it was missing from your submission.
You can find additional comments on the areas of your work assessed in the body of your presentation and the rubric at the end of the presentation highlights your grade.
Understand economic terminology and economic definitions pertaining to decisions made by managers.
Oil Company X is a large oil refinery which has been expanding and taking on new investment projects. Recently, they have considered building a pipeline that stretches across the United States, from Canada to New Orleans. As an alternate investment, they are considering increasing production at existing facilities.
In order to compare these investment opportunities, the head of the Cost Analysis Department has tasked you with finding the profit maximizing quantity and price if production continues at existing facilities. You will then present this to the head of the department in a meeting, along with supporting documentation such as cost curves, data tables, and equations.
As a Cost Analyst at your firm, you are being asked to evaluate the profit maximizing quantity and price for your product to submit to your manager. Assume that your firm is a monopoly supplier of oil in your region, due to extensive trade restrictions.
Another team member in the Cost Analysis Department has compiled the necessary data in the linked spreed-sheet. You will have to complete the missing columns for ATC, AVC, and MC. If the company is incurring a profit, include the amount of the profit earned when quantity and price are maximized. If your company is incurring a loss, prove whether it should shut down or continue operating at a loss. Use graphs and equations to support your argument.