BUSOBA 2321 MIDTERM NEWEST EXAM
2025 WITH MULTIPLE CHOICE OF
QUESTIONS AND DETAILED SOLVED
SOLUTIONS ALREADY GRADED A+ AND
100% GUARANTEE PASS (JUST
RELEASED!!!!!)
break even point graph - CORRECT ANSWER-FC= intercept
(P-VC)= slope
x intercept = break even point
indifference point - CORRECT ANSWER-when total costs are equal to
profit
indifference point equation (with price) - CORRECT ANSWER-(Pa-
VCa)Q-FCa=(Pb-VCb)Q-FCb
indifference point equation (with costs only) - CORRECT ANSWER-
FCa+VCa*Q=FCb+VCb*Q
Steps to calculating indifference point - CORRECT ANSWER-1)
Determine Equations for each
2) Set each equation equal to each other and solve for Q
3) make indifference point table, set test points, plug back into
equation
4) determine which points yield the highest profit
, MAXIMAX - CORRECT ANSWER-optimistic, choosing biggest return
option (rows), then max of these options
MAXMIN - CORRECT ANSWER-pessimistic, choosing the smallest
return option (rows), then take the max of these options
MINIMAX Regret - CORRECT ANSWER-1) find best outcome for each
state of nature (column)
2) determine the regret for each combo
- what you could have had - what you got aka
best payoff - actual payoff
3) find the max regret of each option (row)
4) take the min of these max'sperfec
EMV stands for - CORRECT ANSWER-expected monetary value
EMV 's are - CORRECT ANSWER-the lines on your graph
how to find EMV - CORRECT ANSWER-Value (p) + Value (p-1)
EMV Max - CORRECT ANSWER-range of solutions
ex:
0 <= p <= .3 A
2025 WITH MULTIPLE CHOICE OF
QUESTIONS AND DETAILED SOLVED
SOLUTIONS ALREADY GRADED A+ AND
100% GUARANTEE PASS (JUST
RELEASED!!!!!)
break even point graph - CORRECT ANSWER-FC= intercept
(P-VC)= slope
x intercept = break even point
indifference point - CORRECT ANSWER-when total costs are equal to
profit
indifference point equation (with price) - CORRECT ANSWER-(Pa-
VCa)Q-FCa=(Pb-VCb)Q-FCb
indifference point equation (with costs only) - CORRECT ANSWER-
FCa+VCa*Q=FCb+VCb*Q
Steps to calculating indifference point - CORRECT ANSWER-1)
Determine Equations for each
2) Set each equation equal to each other and solve for Q
3) make indifference point table, set test points, plug back into
equation
4) determine which points yield the highest profit
, MAXIMAX - CORRECT ANSWER-optimistic, choosing biggest return
option (rows), then max of these options
MAXMIN - CORRECT ANSWER-pessimistic, choosing the smallest
return option (rows), then take the max of these options
MINIMAX Regret - CORRECT ANSWER-1) find best outcome for each
state of nature (column)
2) determine the regret for each combo
- what you could have had - what you got aka
best payoff - actual payoff
3) find the max regret of each option (row)
4) take the min of these max'sperfec
EMV stands for - CORRECT ANSWER-expected monetary value
EMV 's are - CORRECT ANSWER-the lines on your graph
how to find EMV - CORRECT ANSWER-Value (p) + Value (p-1)
EMV Max - CORRECT ANSWER-range of solutions
ex:
0 <= p <= .3 A
