(10 pts) topgun records and several movie studios have decided to sign a revenue-sharing contract for dvds. each dvd costs the studio $3 to produce. the dvd will be sold to topgun for $4. topgun in turn prices a dvd at $25 and forecasts demand to be normally distributed, with a mean of 9,000 and a standard deviation of 3,000. any unsold dvds are discounted to $2, and all sell at this price. topgun will share 40 percent of the revenue with the studio, keeping 60 percent for itself.
a) how many dvds should topgun order?
b) how many dvds does topgun expect to sell at a discount?
c) what is the profit that topgun expects to make?
d) what is the profit that the studio expects to make?

Your grandmother told you a dollar doesn't go as far as it used to. she says the purchasing power of a dollar is much lesser than it used to be. explain what she means. try and use and explain terms like inflation and deflation in your answer.

Why do you think the compensation plans differ at the two firms? in particular, why do you think kaufmann’s pays commissions to salespeople, while parkleigh does not? why does parkleigh offer employees discounts on purchases, while kaufmann’s does not?

R& m chatelaine is one of the largest tax-preparation firms in the united states. it wants to acquire the tax experts, a smaller rival. after the merger, chatelaine will be one of the two largest income-tax preparers in the u.s. market. what should chatelaine include in its acquisition plans? it should refocus its attention from the national to the international market. in addition to acquiring the tax experts, it should also determine the best way to drive independent "mom and pop" tax preparers out of business. chatelaine will need to explain to the federal trade commission how the acquisition will not result in an increase in prices for consumers. chatelaine should enter a price-based competition with its other major competitor to force it out of business and become a monopoly.