Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

6. A company has fixed costs of $15,000 and it production costs are $120 per item. Demand for the product, is given by * =

image text in transcribed
6. A company has fixed costs of $15,000 and it production costs are $120 per item. Demand for the product, is given by * = 370-p.where x is the number of items that will sell for a price of Sp per item. 2. 12 par Find equations for cost, revenue, and profit as a function of number of iter items b. per Find the average rate of change in profit fron x = 50 to x = 100. Write a sentence describing what the value means for the company c. pe Find and simplify the equation for the marginal profit d. oper Find P'(100) and P'(160), and write a sentence describing what each of these values mean for the company e per Based on your answer to part d, at a production level of 100 units, does it make sense to raise or lower the price? Explain how your answer to part d helps you make this decision

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Clinical Audit In Mental Health Toward A Multidisciplinary Approach

Authors: John Riordan, Darren Mockler

1st Edition

0471963321, 978-0471963325

More Books

Students also viewed these Accounting questions