Question
Suppose a company has fixed costs of $36,000 and variable cost per unit of 1/3 x + 222 dollars, where x is the total number
Suppose a company has fixed costs of $36,000 and variable cost per unit of 1/3x+ 222 dollars, wherexis the total number of units produced. Suppose further that the selling price of its product is 1,452 2/3xdollars per unit.
(a)
Form the cost function and revenue function (in dollars).
C(x)
=
R(x)
=
Find the break-even points. (Enter your answers as a comma-separated list.)
x=
(b)
Find the vertex of the revenue function.
(x,y) =
Identify the maximum revenue.
$
(c)
Form the profit function from the cost and revenue functions (in dollars).
P(x) =
Find the vertex of the profit function.
(x,y) =
Identify the maximum profit.
$
(d)
What price will maximize the profit?
$
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