Neurogenetics is a biotech firm. Their latest breakthrough drug requires a special chemical, which is purchased in gallon quantities. For the upcoming year, Neurogenetics has determined it will require 2,400 gallons. Because this chemical in its natural form has been classified as toxic, it requires federal approval, and this makes the cost of placing an order expensive. It has been estimated that the cost of placing an order is $4,500. The cost of the chemical is $3,600 per gallon. Neurogenetics has a cost of holding the chemical at 15% of the purchase price. What would be the total annual inventory cost for this part

10. problems and applications q10 a market is described by the following supply-and-demand curves: qsqs = = 2p2p qdqd = = 300â’p300â’p the equilibrium price is $ and the equilibrium quantity is . suppose the government imposes a price ceiling of $90. this price ceiling is , and the market price will be $ . the quantity supplied will be , and the quantity demanded will be . therefore, a price ceiling of $90 will result in . suppose the government imposes a price floor of $90. this price floor is , and the market price will be $ . the quantity supplied will be and the quantity demanded will be . therefore, a price floor of $90 will result in . instead of a price control, the government levies a tax on producers of $30. as a result, the new supply curve is: qsqs = = 2(pâ’30)2pâ’30 with this tax, the market price will be $ , the quantity supplied will be , and the quantity demanded will be . the passage of such tax will result in .