Answered: If the profit function is TT = - Q² +…

If the profit function is TT = - Q² + 7Q -10 What is the value of the maximum profit Select one: a. Ttmax. = -3.5 b. Tmax. = 2.25 C C. TMmax. = 7 d. Tmax. = 3.5

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Concept explainers

Accounting and Economic Profit analysis

One comes across the concept of Profits in the context of business and in analyzing the results of business activity. Profits of a business can be accounting profits, and they can also be economic profits. So how does one understand the concept of accounting versus economic profits?

Question

If the profit function is
T = - Q² + 7Q -10
What is the value of the maximum profit
Select one:
C a. Tmax. = -3.5
b. Tmax. = 2.25
C C. Tmax. =7
d. Tmax. = 3.5

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