A company produces and sells a product and fixed costs of the company are 8500000 Baisa and variable cost is RO. (35+K) per unit and sells the product at RO. (70+M) per unit. a. Find the total cost function.  b. Find the total revenue function.  c. Find the profit function and determine the profit when 1250 units are sold.

Managerial Economics: Applications, Strategies and Tactics (MindTap Course List)
14th Edition
ISBN:9781305506381
Author:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris
Publisher:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris
Chapter9: Applications Of Cost Theory
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A company produces and sells a product and fixed costs of the company are 8500000 Baisa and variable cost is RO. (35+K) per unit and sells the product at RO. (70+M) per unit.
a. Find the total cost function. 
b. Find the total revenue function. 
c. Find the profit function and determine the profit when 1250 units are sold. 
d. How many units must be produced and sold to yield a profit of RO. 20000? 
e. How many units must be sold to break even?

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