The following table shows values of the revenue and cost functions for some product. q | 0 | 500 | 1000 | 1500 | 2000 | 2500 | 3000 R(q) | 0 | 1350 | 2700 | 4050 | 5400 | 6750 | 8100 C(q) | 1900 | 3050 | 3700 | 3850 | 3500 | 5150 | 7300 a) At approximately what production level is profit maximized? q = b) What is the price of the product? Round your answer to one decimal place. price = $ per unit c) What are the fixed costs? fixed cost = $
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We can use the given values to approximate the profit at each production level: | q | R(q) | C(q) | P(q) | |------|-------|-------|-------| | 500 | 1350 | 1900 | -550 | | 1000 | 2700 | 3050 | -350 | | 1500 | 4050 | 3700 | 350 | | 2000 | 5400 | Show more…
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The table below shows cost, C(q), and revenue, R(q): q 500 1000 1500 2000 2500 3000 R(q) 3375 6750 10125 13500 16875 20250 C(q) 9000 10660.5 11490.75 12136.5 12782.25 14258.25 18225 At approximately what production level, q, is profit maximized: q ~ units What is the price of the product: Price dollars What are the fixed costs: fixed costs dollars
Sri K.
Table 4.2 shows cost, $C(q),$ and revenue, $R(q)$ (a) At approximately what production level, $q$, is profit maximized? Explain your reasoning. (b) What is the price of the product? (c) What are the fixed costs? $$\begin{array}{l|r|r|r|r|r|r|r}\hline q & 0 & 500 & 1000 & 1500 & 2000 & 2500 & 3000 \\\hline R(q) & 0 & 1500 & 3000 & 4500 & 6000 & 7500 & 9000 \\\hline C(q) & 3000 & 3800 & 4200 & 4500 & 4800 & 5500 & 7400 \\\hline\end{array}$$
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