Economics The demand for product Q is given by Q = 100 -.25P and the total cost of Q by: 1 STC=3000+40Q-5Q² +=Q³ 3 g. At what positive level of Q is marginal profit maximized? You found the profit function in (e) above. Marginal profit is the first derivative of the profit function (e). Next, find the derivative of marginal profit, set it equal to zero, and solve for Q. This is the Q that maximizes marginal profit. h. What price per unit should be charged for each unit of Q found in (g)? Simply plug the Q you got in (g) into the same price function you found in (a) and also used in (d).

Economics The demand for product Q is given by Q = 100 -.25P and the total cost of Q by: 1 STC=3000+40Q-5Q² +=Q³ 3 g. At what positive level of Q is marginal profit maximized? You found the profit function in (e) above. Marginal profit is the first derivative of the profit function (e). Next, find the derivative of marginal profit, set it equal to zero, and solve for Q. This is the Q that maximizes marginal profit. h. What price per unit should be charged for each unit of Q found in (g)? Simply plug the Q you got in (g) into the same price function you found in (a) and also used in (d).

Microeconomics

13th Edition

ISBN:9781337617406

Author:Roger A. Arnold

Publisher:Roger A. Arnold

Chapter8: Production And Costs

Section: Chapter Questions

Problem 15QP

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