A company sells one of its products for $42 each. The monthly fixed costs are $2700. The marginal cost of the q=quantity and C(q) = cost. a) Express the total monthly costs, C, as a function of q, the quantity produced each month. C(q) = Express the total monthly revenue, R, as a function of the quantity, q, sold each month. R(q) I 1.

A company sells one of its products for $42 each. The monthly fixed costs are $2700. The marginal cost of the q=quantity and C(q) = cost. a) Express the total monthly costs, C, as a function of q, the quantity produced each month. C(q) = Express the total monthly revenue, R, as a function of the quantity, q, sold each month. R(q) I 1.

Essentials of Economics (MindTap Course List)

8th Edition

ISBN:9781337091992

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter12: The Cost Of Production

Section: Chapter Questions

Problem 4CQQ

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Concept explainers

Cost of Production

The entire idea of the cost of production or production cost is applied corresponding, or we can say that it is related to monetary cost. Money cost refers to any money expenditure which the firm or supplier, or producer undertakes in purchasing or hiring factor of production or factor services.

Question

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A company sells one of its products for $42 each. The monthly fixed costs are $2700. The marginal cost of the product is $10. Let
q=quantity and C(q) = cost.
a) Express the total monthly costs, C, as a function of q, the quantity produced each month.
C(q) =
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Express the total monthly revenue, R, as a function of the quantity, q, sold each month.
R(q) =
c) Find the quantity, q, produced and sold each month at which this company will break even. Round your answer to a whole
number.
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