Suppose the firm faces a demand curve for its product P=32-2Q, and the firm's costs of production and marketing are C(Q)=2Q^2. Find the following; a. The formula for profit piein terms of Q b. The first order condition(FOC) and the second order condition(SOC) for maximum total revenue c. The price and quantity that maximizes total revenue, and the corresponding value of the total revenue. d.The FOC and SOC for maximum profit

Suppose the firm faces a demand curve for its product P=32-2Q, and the firm's costs of production and marketing are C(Q)=2Q^2. Find the following; a. The formula for profit piein terms of Q b. The first order condition(FOC) and the second order condition(SOC) for maximum total revenue c. The price and quantity that maximizes total revenue, and the corresponding value of the total revenue. d.The FOC and SOC for maximum profit

Economics:

10th Edition

ISBN:9781285859460

Author:BOYES, William

Publisher:BOYES, William

Chapter23: Profit Maximization

Section: Chapter Questions

Problem 11E

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