Quantitative Modelling 1
DSC1520
ASSIGNMENT 01 SEMESTER 01 2023
ASSIGNMENT 01 (compulsory)
20 MULTIPLE-CHOICE QUESTIONS
DUE DATE: 18 March 2023
UNIQUE NUMBER: 860365
QUESTION 1
Which of the given statement is true?
a. In business, the amount of money that represents the opportunities that might have
been missed in the process of delivering service is called cost.
b. Variable costs are expenses that have to be paid by a company, independent of any
business activity.
c. Profit is the surplus remains after total revenue have been deducted from total costs.
d. The term supply represents the quantity of a product that consumers would buy at a
certain price.
QUESTION 2
The surfing club provides swimming lessons to boost their funds. The club has fixed costs
of R345 per day, when offering these classes-mostly for insurance-and it costs them R65 for
each lesson given. How many lessons did they provide if total costs amounted to R3900?
a. 55
b. 253845
c. 11
d. 1345565
, TC =T FC + TVC
3 900 = 345 + (65*Q)
65Q = 3 900 – 345
Q = 3 555/65 = 54.69 = 55
QUESTION 3
A firm's fixed cost to produce cups amount to R1250 per week and it costs R12 to produce
each cup. These cups are sold for R55 each. What would be the firm's profit if they produce
and sell 150 cups?
a. R5 200
b. R30 50
c. R8 250
d. R11 300
Profit =TR – TC = 8 250 – 3 050 = 5 200
TR = Px Q = R55 x 150 = R8 250
TC = FC +VC = 1 250 + (12 * 55) = R3 050
QUESTION 4
The demand and supply functions for pans are
q=710−5,5p and p=3,5q+57,5,
respectively, with the price in rand and q the quantity in boxes. Find the point(s) where the
demand and supply function intersect.
a. (p;q)=(126;14,556)
b. (p;q)=(14,556;126)
c. (p;q)=(126;126)
d. (p;q)=(14,556;14,556)
DSC1520
ASSIGNMENT 01 SEMESTER 01 2023
ASSIGNMENT 01 (compulsory)
20 MULTIPLE-CHOICE QUESTIONS
DUE DATE: 18 March 2023
UNIQUE NUMBER: 860365
QUESTION 1
Which of the given statement is true?
a. In business, the amount of money that represents the opportunities that might have
been missed in the process of delivering service is called cost.
b. Variable costs are expenses that have to be paid by a company, independent of any
business activity.
c. Profit is the surplus remains after total revenue have been deducted from total costs.
d. The term supply represents the quantity of a product that consumers would buy at a
certain price.
QUESTION 2
The surfing club provides swimming lessons to boost their funds. The club has fixed costs
of R345 per day, when offering these classes-mostly for insurance-and it costs them R65 for
each lesson given. How many lessons did they provide if total costs amounted to R3900?
a. 55
b. 253845
c. 11
d. 1345565
, TC =T FC + TVC
3 900 = 345 + (65*Q)
65Q = 3 900 – 345
Q = 3 555/65 = 54.69 = 55
QUESTION 3
A firm's fixed cost to produce cups amount to R1250 per week and it costs R12 to produce
each cup. These cups are sold for R55 each. What would be the firm's profit if they produce
and sell 150 cups?
a. R5 200
b. R30 50
c. R8 250
d. R11 300
Profit =TR – TC = 8 250 – 3 050 = 5 200
TR = Px Q = R55 x 150 = R8 250
TC = FC +VC = 1 250 + (12 * 55) = R3 050
QUESTION 4
The demand and supply functions for pans are
q=710−5,5p and p=3,5q+57,5,
respectively, with the price in rand and q the quantity in boxes. Find the point(s) where the
demand and supply function intersect.
a. (p;q)=(126;14,556)
b. (p;q)=(14,556;126)
c. (p;q)=(126;126)
d. (p;q)=(14,556;14,556)
