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I have notice that this topic is part of opentution’s study tips, can u post me any notes u have on enviromental management accounting. Thank you
There is a chapter in the Course Notes – you can download them on this website.
It will be writing (no calculation) and a maximum of 8 marks.
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Hi, there is an addition to the pricing section on the sylabus. Determine prices and output levels for profit maximisation using the demand based approach
(both tabular and algebric methods)…can u help me here?? wat is the tabular and algebric approach??It is not knew to the syllabus – it was always there.
It relates to the idea that a higher selling price means you sell less, and a lower selling price means you sell more.
With the tabular approach you list all the selling prices (per unit), calculate the total profit, and then choose the price that gives the highest profit.
With algebra you derive the equation relating the price to the demand, and then you find the price giving maximum profit by finding when marginal revenue = marginal cost. (There are formulae on the formula sheet). For a full explanation watch the lecture on this website.
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