Monday
March 27, 2017

Post a New Question

Posted by on .

Suppose r(x) = 8(x)^(1/2) represents revenue and c(x) = 2(x)^2 represents cost, with x measured in thousands of units. Is there a production level that maximizes profit? If so, what is it?

  • Math - ,

    profit = revenue - cost
    = 8√x - 2x^2

    d(profit)/dx = 4/√x - 4x
    = 0 for a max of profit

    4/√x = 4x
    x = 1

    since x was measured in thousands,
    they should have a production of 1000

Answer This Question

First Name:
School Subject:
Answer:

Related Questions

More Related Questions

Post a New Question