3. Instagram has a revenue function of R(q) = 5q2 - 10q+600 and a cost function of C(q) = 3q² + 200, where R(q) and C(q) are measured in thousands of dollars and q represent the number of companies who advertise on their platform measured in hundreds. Instagram has a capacity to advertise for 10000 companies in any given month on its platform. a) How much will Instagram's marginal cost be for advertising at 74% of its capacity? b) Calculate and interpret Instagram's marginal revenue when 8000 companies advertise with them. c) How many companies must advertise with Instagram so that its maximum profit can be achieved? d) Calculate Instagram's maximum revenue at/for the number of companies needed to maximize its total profit? I
3. Instagram has a revenue function of R(q) = 5q2 - 10q+600 and a cost function of C(q) = 3q² + 200, where R(q) and C(q) are measured in thousands of dollars and q represent the number of companies who advertise on their platform measured in hundreds. Instagram has a capacity to advertise for 10000 companies in any given month on its platform. a) How much will Instagram's marginal cost be for advertising at 74% of its capacity? b) Calculate and interpret Instagram's marginal revenue when 8000 companies advertise with them. c) How many companies must advertise with Instagram so that its maximum profit can be achieved? d) Calculate Instagram's maximum revenue at/for the number of companies needed to maximize its total profit? I
Advanced Engineering Mathematics
10th Edition
ISBN:9780470458365
Author:Erwin Kreyszig
Publisher:Erwin Kreyszig
Chapter2: Second-order Linear Odes
Section: Chapter Questions
Problem 1RQ
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Transcribed Image Text:3. Instagram has a revenue function of R(q) = 5q2² - 10q + 600 and a cost function of
C(q) = 3q² + 200, where R(q) and C(q) are measured in thousands of dollars and q
represent the number of companies who advertise on their platform measured in hundreds.
Instagram has a capacity to advertise for 10000 companies in any given month on its
platform.
a) How much will Instagram's marginal cost be for advertising at 74% of its
P
capacity?
b) Calculate and interpret Instagram's marginal revenue when 8000 companies
advertise with them.
c) How many companies must advertise with Instagram so that its maximum profit
can be achieved?
d) Calculate Instagram's maximum revenue at/for the number of companies needed
to maximize its total profit?
I
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