Let x denote the level of output of a firm’s production process. The cost function is given by C (x) = x(x +1)+120 and the demand function of the product by x =1000 - 2p. (a) Compute profit E(x). (b) Find the output x at which profit is maximized. Please answer both subparts. I will really upvote. Thanks
Let x denote the level of output of a firm’s production process. The cost function is given by C (x) = x(x +1)+120 and the demand function of the product by x =1000 - 2p. (a) Compute profit E(x). (b) Find the output x at which profit is maximized. Please answer both subparts. I will really upvote. Thanks
Chapter2: Mathematics For Microeconomics
Section: Chapter Questions
Problem 2.2P
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Let x denote the level of output of a firm’s production process. The cost function is given by C (x) = x(x +1)+120 and the demand function of the product by x =1000 - 2p.
(a) Compute profit E(x).
(b) Find the output x at which profit is maximized.
Please answer both subparts.
I will really upvote. Thanks
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