A market analysis employed by the “Sad Student Company” reveals that the number of lots of the game named “Handsome Killer: Revenge of the Teacher” ordered by the wholesalers when the game is offered at a price of dollars per lot is given by the formula: p=1500-2.5q a) Find the company’s total, marginal and average revenues b) Find the price and quantity maximizing the total revenue by first expressing the revenue as a function of price rather than of quantity
A market analysis employed by the “Sad Student Company” reveals that the number of lots of the game named “Handsome Killer: Revenge of the Teacher” ordered by the wholesalers when the game is offered at a price of dollars per lot is given by the formula: p=1500-2.5q a) Find the company’s total, marginal and average revenues b) Find the price and quantity maximizing the total revenue by first expressing the revenue as a function of price rather than of quantity
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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A market analysis employed by the “Sad Student Company” reveals that the number of
lots of the game named “Handsome Killer: Revenge of the Teacher” ordered by the
wholesalers when the game is offered at a
p=1500-2.5q
a) Find the company’s total, marginal and average revenues
b) Find the price and quantity maximizing the total revenue by first expressing the
revenue as a function of price rather than of quantity
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