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A small-scale manufacturer can sell q number of units of each product produced per week at a price of (18 - 0.02q) pesos. It costs
A small-scale manufacturer can sell q number of units of each product produced per week at a price of (18 - 0.02q) pesos. It costs P8 to make each unit of the product. The fixed cost associated with producing and selling the product weekly is P450.
Determine:
a. The TR, TC and profit Function.
b. Production level to break-even.
c. Production level to maximize profit.
d. Maximum profit at this level.
e. Interpret the meaning of the two break-even points
Note: Please make sure the solutions are clear and readable.
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