computer retailing company specializes in the sale of jump drives to community college udents. The demand function for jump drives is p=2x +10x +1000 dollars For the same company the average cost function 1s given as: 20 = = 2x +36x=-1600 – I dollars Where p is the price in dollars and x represents units of output. i) 11) Find the price and output that will maximize profit. Find the maximum profit

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
ChapterB: Differential Calculus Techniques In Management
Section: Chapter Questions
Problem 2E
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Эшestion 1
A computer retailing company specializes in the sale of jump drives to community college
tudents.
The demand function for jump drives is
p=2x+10x+1000
dollars
For the samne company the average cost function is given as:
ē = 2x +36x-1600-
20
* dollars
Where p is the price in dollars and x represents units of output.
1)
i1)
Find the price and output that will maximize profit.
Find the maximum profit
Transcribed Image Text:Эшestion 1 A computer retailing company specializes in the sale of jump drives to community college tudents. The demand function for jump drives is p=2x+10x+1000 dollars For the samne company the average cost function is given as: ē = 2x +36x-1600- 20 * dollars Where p is the price in dollars and x represents units of output. 1) i1) Find the price and output that will maximize profit. Find the maximum profit
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