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Find the profit maximizing output given the following revenue and cost functions:

Essentials of Business Analytics (MindTap Course List)

2nd Edition

ISBN:9781305627734

Author:Jeffrey D. Camm, James J. Cochran, Michael J. Fry, Jeffrey W. Ohlmann, David R. Anderson

Publisher:Jeffrey D. Camm, James J. Cochran, Michael J. Fry, Jeffrey W. Ohlmann, David R. Anderson

Chapter15: Decision Analysis

Section: Chapter Questions

Problem 24P: Translate the following monetary payoffs into utilities for a decision maker whose utility function...

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Question

Find the profit maximizing output given the following revenue and cost functions:
R(q) = 1000q – 2q2
C(q) = q3 – 59q2 + 1315q + 2000

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