The manufacturer of smart printers is trying to decide what price to set for its product. The demand and cost function are assumed to be as follows: P = 80 -2Q TC= 160 +50Q-1.5Q ² What price should the company charge if it wants to maximize its profit in the short run? What is the optimal quantity for the printer following this optimal price? 15:11Document (1)0VPN0.04KB/S2745The manufacturer of smart printers istrying to decide what price to set for itsproduct. Thedemand and cost function are assumedto be as follows:P = 80-2QTC= 160 +50Q-1.5Q 2What price should the company chargeif it wants to maximize its profit in theshort run?BI U ο AWhat isthe optimal quantity for the printerfollowing this optimal price?1:3- - -:

The firm maximizes its profit when the marginal revenue is equal to the marginal cost (MR=MC).

Answered: The manufacturer of smart printers is…

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

Chapter8: Cost Analysis

Section: Chapter Questions

Problem 9E

See similar textbooks

Related questions

Question

The manufacturer of smart printers is trying to decide what price to set for its product. The
demand and cost function are assumed to be as follows:
P = 80 -2Q
TC= 160 +50Q-1.5Q ²
What price should the company charge if it wants to maximize its profit in the short run? What is
the optimal quantity for the printer following this optimal price?

15:11
Document (1)
0
VPN
0.04
KB/S
274
5
The manufacturer of smart printers is
trying to decide what price to set for its
product. The
demand and cost function are assumed
to be as follows:
P = 80-2Q
TC= 160 +50Q-1.5Q 2
What price should the company charge
if it wants to maximize its profit in the
short run?
BI U ο A
What is
the optimal quantity for the printer
following this optimal price?
1:3
- - -
:

Expert Solution

Step by step

Solved in 2 steps with 1 images

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.

Similar questions