A manufacturer can produce at most 90 units of a certain product each year . The demand equation for the product is p= q2-100q+1800 and the manufacturer's average cost function c=2/3q2-55q+12000/q Determine the profit maximizing output q and the corresponding maximum Profit . The profit maximizing output q is 60

Microeconomic Theory
12th Edition
ISBN:9781337517942
Author:NICHOLSON
Publisher:NICHOLSON
Chapter11: Profit Maximization
Section: Chapter Questions
Problem 11.4P
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A manufacturer can produce at most 90 units of a certain product each year . The demand equation for the product is p= q2-100q+1800 and the manufacturer's average cost function c=2/3q2-55q+12000/q Determine the profit maximizing output q and the corresponding maximum Profit . The profit maximizing output q is 60
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