Company sells titanium alloy fasteners for airframe applications. The fasteners sell in packets of 1000 units, which each packet selling for $145. The company's total cost function is: TC = 3,200,000 + 0.002 Q^2, in which Q is expressed in packets produced per year and TC in dollars per year. What is company's annual profit if the quantity of packets produced and sold per year is 50,000?

Company sells titanium alloy fasteners for airframe applications. The fasteners sell in packets of 1000 units, which each packet selling for $145. The company's total cost function is: TC = 3,200,000 + 0.002 Q^2, in which Q is expressed in packets produced per year and TC in dollars per year. What is company's annual profit if the quantity of packets produced and sold per year is 50,000?

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

Section: Chapter Questions

Problem 5E

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