Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

A firm can produce at most x = 2500 units per month, and their marginal cost function has been computed to be MC =1200+x ,

  1. A firm can produce at most x = 2500 units per month, and their marginal cost function has been computed to be MC=1200+x , while the cost of producing and selling 30 units is $70,000. If their marginal revenue function has been computed to be MR=3500 , then find:
  2. The number of units of production resulting in maximum monthly profit
  3. The maximum monthly profit
  4. Associated fixed costs
  5. How many units does the firm need to manufacture and sell in order to break even?

Step by Step Solution

3.47 Rating (160 Votes )

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

Step: 3

blur-text-image

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

Mathematical Applications for the Management Life and Social Sciences

Authors: Ronald J. Harshbarger, James J. Reynolds

11th edition

9781337032247, 9781305465183, 1305108043, 1337032247, 1305465180, 978-1305108042

More Books

Students also viewed these Economics questions