Facebook has a revenue function of R(q) = 5q2 -10q + 600 and a cost function of C(q) = 3q2 + 200, where R(q) and C(q) are measured in thousands of dollars and q represent the number of companies who advertise on their platform measured in hundreds. Facebook has a capacity to advertise for 10,000 companies in any given month on its platform. a) How many will Facebook's marginal cost be for advertising at 74% of its capacity? b) Calculate the interpret Facebook's marginal revenue when 8,000 companies advertise with them. c) How many companies must advertise with Facebook so that its maximum profit can be achieved? d) Calculate Facebook's maximum revenue at/for the number of companies needed to maximize its total profit?
Facebook has a revenue function of R(q) = 5q2 -10q + 600 and a cost function of C(q) = 3q2 + 200, where R(q) and C(q) are measured in thousands of dollars and q represent the number of companies who advertise on their platform measured in hundreds. Facebook has a capacity to advertise for 10,000 companies in any given month on its platform. a) How many will Facebook's marginal cost be for advertising at 74% of its capacity? b) Calculate the interpret Facebook's marginal revenue when 8,000 companies advertise with them. c) How many companies must advertise with Facebook so that its maximum profit can be achieved? d) Calculate Facebook's maximum revenue at/for the number of companies needed to maximize its total profit?
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