ie demand function for a company is p = 200 - 31 and the cost function is given by C(z) U+ 80z - z. Determine the value of z and the corresponding price that will maximize the profit. Revenue (RX))= x(demand function) Now Demond P: a00- 3x P'(x): 0 120-4x =0 X= 30 C(x) = 75+80x-x2 R(x) = x-p= 200x -3x2 Profit = R(x) -C(x) (200x-3x)-(75+80x-x2) p"(x) = -4 So, X = 30 → P: 200-3(30) So at P= 110 Profit Will be Maximum %3D %3D Profit = 120x - 2x2-75 %3D 2. Rework the problem above adding a government tax of $4 per unit to the cost of production. C(X)= 75+80x-x C(x) =75+ 80Ox +4x-x2
ie demand function for a company is p = 200 - 31 and the cost function is given by C(z) U+ 80z - z. Determine the value of z and the corresponding price that will maximize the profit. Revenue (RX))= x(demand function) Now Demond P: a00- 3x P'(x): 0 120-4x =0 X= 30 C(x) = 75+80x-x2 R(x) = x-p= 200x -3x2 Profit = R(x) -C(x) (200x-3x)-(75+80x-x2) p"(x) = -4 So, X = 30 → P: 200-3(30) So at P= 110 Profit Will be Maximum %3D %3D Profit = 120x - 2x2-75 %3D 2. Rework the problem above adding a government tax of $4 per unit to the cost of production. C(X)= 75+80x-x C(x) =75+ 80Ox +4x-x2
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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I need answer of second part and only handwritten otherwise i will dislike
![ne demand function for a company is p = 200 - 3r and the cost function is given by C(r) =
0+ 80x - r. Determine the value of r and the corresponding price that will maximize the profit.
Revenue (RX))= x(demand function)
Now Demand P= 200- 3x
P'(x): 0
0=メナ-oel
X 30
C(x) = 75+80 x-x2
R(x) = x•P= 200x -3x2
Profit = R(x) - Cl(x)
p"(x) = -4
So, X = 30 P: 200-3(30)
So at P= 11o
Profit will be Maximum
%3D
=(20ox - 3x2)-(75+80x-x)
Profit = 120x -2x2-75
- Rework the problem above adding a government tax of $4 per unit to the cost of production.
C(X)=75+80x -x2
C(x) = 75 + 80x +4x-x2](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Faad1eff4-6262-4119-a008-57a418812a8e%2Fc37f99ad-30af-426b-b386-6f574ead49f6%2Fjisa9zd_processed.jpeg&w=3840&q=75)
Transcribed Image Text:ne demand function for a company is p = 200 - 3r and the cost function is given by C(r) =
0+ 80x - r. Determine the value of r and the corresponding price that will maximize the profit.
Revenue (RX))= x(demand function)
Now Demand P= 200- 3x
P'(x): 0
0=メナ-oel
X 30
C(x) = 75+80 x-x2
R(x) = x•P= 200x -3x2
Profit = R(x) - Cl(x)
p"(x) = -4
So, X = 30 P: 200-3(30)
So at P= 11o
Profit will be Maximum
%3D
=(20ox - 3x2)-(75+80x-x)
Profit = 120x -2x2-75
- Rework the problem above adding a government tax of $4 per unit to the cost of production.
C(X)=75+80x -x2
C(x) = 75 + 80x +4x-x2
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