A company manufactures 2 models of MP3 players. Letxrepresent the number (in millions) of the first model made, and letyrepresent the number (in millions) of the second model made.

The company's revenue can be modeled by the equation

R(x,y)=110x+50y3x^24y^2xy

Find the marginal revenue equations

Rx(x,y)=

Ry(x,y)=

We can acheive maximum revenue when both partial derivatives are equal to zero. SetRx=0

andRy=0

and solve as a system of equations to the find the production levels that will maximize revenue.

Revenue will be maximized when:

x =

y =