Solution Found!
Profit If the cost function in dollars for q units of the
Chapter 4, Problem 58A(choose chapter or problem)
Problem 58A
Profit If the cost function in dollars for q units of the item in Exercise is C(q) = 100q + 100, find the following.
a. The marginal cost
b. The profit function P(q)
c. The approximate profit from one more unit when 8 units are sold
d. How might a manager use the information from part c?
Reference Exercise:
Revenue Suppose the demand function for q units of a certain item is
where p is in dollars.
a. Find the marginal revenue.
b. Approximate the revenue from one more unit when 8 units are sold.
c. How might a manager use the information from part b?
Questions & Answers
QUESTION:
Problem 58A
Profit If the cost function in dollars for q units of the item in Exercise is C(q) = 100q + 100, find the following.
a. The marginal cost
b. The profit function P(q)
c. The approximate profit from one more unit when 8 units are sold
d. How might a manager use the information from part c?
Reference Exercise:
Revenue Suppose the demand function for q units of a certain item is
where p is in dollars.
a. Find the marginal revenue.
b. Approximate the revenue from one more unit when 8 units are sold.
c. How might a manager use the information from part b?
ANSWER:
Solution:
Step 1 of 8:
a)In this problem, we need to find the marginal cost.