A firm knows that its marginal cost for a product is MC = 2x + 15, that its marginal revenue is MR = 51 − 4x, and that the cost of production of 60 units is $4,660. (a) Find the optimal level of production. units (b) Find the profit function. P(x) = (c) Find the profit or loss at the optimal level. There is a ---Select--- profit loss of $ .

A firm knows that its marginal cost for a product is MC = 2x + 15, that its marginal revenue is MR = 51 − 4x, and that the cost of production of 60 units is $4,660. (a) Find the optimal level of production. units (b) Find the profit function. P(x) = (c) Find the profit or loss at the optimal level. There is a ---Select--- profit loss of $ .

Microeconomic Theory

12th Edition

ISBN:9781337517942

Author:NICHOLSON

Publisher:NICHOLSON

Chapter11: Profit Maximization

Section: Chapter Questions

Problem 11.4P

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Question

A firm knows that its marginal cost for a product is

MC = 2x + 15, that its marginal revenue is MR = 51 − 4x, and that the cost of production of 60 units is $4,660.

(a) Find the optimal level of production.
units

(b) Find the profit function.

P(x) =

There is a ---Select--- profit loss of $ .

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