The total cost per month of producing qs units of “S-class" cars, qɛ units of “E-class" cars, and qc units of "C-class" cars in Untertürkheim is given by: C = ( 30 q s ² + 2 q u ? +q¢ °) ?/3 and the demand functions for these cars are given by: qs = 10 - 0.1 p s+ pE qE = 100 In ( p s " ) - 3 p e + 7 p c - 1000 qc = 300,000 + ps/ 30 + pE - 5 pc where ps, pE and pe represent the unit prices of S-class, E-class and C-class cars, respectively. You are asked to find out how the total cost will be affected if the unit price of S-class cars are increased incrementally from the current 60,000 euros, while the prices of other cars stay constant at 40,000 euros and 30,000 euros for E-class and C-class cars, respectively. + 0.2 p c 1/2

The total cost per month of producing qs units of “S-class" cars, qɛ units of “E-class" cars, and qc units of "C-class" cars in Untertürkheim is given by: C = ( 30 q s ² + 2 q u ? +q¢ °) ?/3 and the demand functions for these cars are given by: qs = 10 - 0.1 p s+ pE qE = 100 In ( p s " ) - 3 p e + 7 p c - 1000 qc = 300,000 + ps/ 30 + pE - 5 pc where ps, pE and pe represent the unit prices of S-class, E-class and C-class cars, respectively. You are asked to find out how the total cost will be affected if the unit price of S-class cars are increased incrementally from the current 60,000 euros, while the prices of other cars stay constant at 40,000 euros and 30,000 euros for E-class and C-class cars, respectively. + 0.2 p c 1/2

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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