3. Suppose that the total revenue function for a commod- ity is R = 64x- 0.02x². (a) Find R(100) and tell what it represents. (b) Find the marginal revenue function. (c) Find the marginal revenue at x = 100 and tell what it predicts about the sale of the next unit and the next 3 units. (d) Find R(101) – R(100) and explain what this value represents.

3. Suppose that the total revenue function for a commod- ity is R = 64x- 0.02x². (a) Find R(100) and tell what it represents. (b) Find the marginal revenue function. (c) Find the marginal revenue at x = 100 and tell what it predicts about the sale of the next unit and the next 3 units. (d) Find R(101) – R(100) and explain what this value represents.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

3. Suppose that the total revenue function for a commod-
ity is R = 64x- 0.02x².
(a) Find R(100) and tell what it represents.
(b) Find the marginal revenue function.
(c)
Find the marginal revenue at x = 100 and tell
what it predicts about the sale of the next unit and
the next 3 units.
(d) Find R(101) - R(100) and explain what this value
represents.

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