Cost, revenue, and profit are in dollars and x is the number of units. A firm knows that its marginal cost for a product is MC = 2x + 20, that its marginal revenue is MR = 44 − 6x, and that the cost of production of 100 units is $12,160. the optimal level of production is 3 units.    a) find the profit function b)  Find the profit or loss at the optimal level.

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Chapter1: Making Economics Decisions
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Cost, revenue, and profit are in dollars and x is the number of units.

A firm knows that its marginal cost for a product is

MC = 2x + 20,

that its marginal revenue is

MR = 44 − 6x,

and that the cost of production of 100 units is $12,160.

the optimal level of production is 3 units. 
 
a) find the profit function
b)  Find the profit or loss at the optimal level.
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