nagement of Cal supermarkets has that the quantity demanded per week of their 90% lean ground sirloin, x, and the quantity dem pounds), are related to their unit prices p and q (in dollars), respectively, by the equations x=6400 - 600p - 400g and y = 5600-400p600q. (a) What is the total revenue function R(p, q)? Hint: R(p, q) = xp + ya R(p, q) = X (b) What price should Cal Supermarkets charge for each product to maximize its weekly revenue? (p, q) = x How many pounds of each product will then be sold? -([ (x, y) = X What is the maximum revenue? $ per week their 80% ground beef, y (both measur

ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN:9780190931919
Author:NEWNAN
Publisher:NEWNAN
Chapter1: Making Economics Decisions
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D2.

 

The management of Cal Supermarkets has determined that the quantity demanded per week of their 90% lean ground sirloin, x, and the quantity demanded per week of their 80% ground beef, y (both measured in
pounds), are related to their unit prices p and q (in dollars), respectively, by the equations
X = 6400 600p - 400q and y = 5600 - 400p 600q.
(a) What is the total revenue function R(p, q)? Hint: R(p, q) = xp + yq
R(p, q)
=
X
(b) What price should Cal Supermarkets charge for each product to maximize its weekly revenue?
(p, q) =
How many pounds of each product will then be sold?
(x, y) =
What is the maximum revenue?
$
Transcribed Image Text:The management of Cal Supermarkets has determined that the quantity demanded per week of their 90% lean ground sirloin, x, and the quantity demanded per week of their 80% ground beef, y (both measured in pounds), are related to their unit prices p and q (in dollars), respectively, by the equations X = 6400 600p - 400q and y = 5600 - 400p 600q. (a) What is the total revenue function R(p, q)? Hint: R(p, q) = xp + yq R(p, q) = X (b) What price should Cal Supermarkets charge for each product to maximize its weekly revenue? (p, q) = How many pounds of each product will then be sold? (x, y) = What is the maximum revenue? $
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