Homework Help: Calculus

Posted by Janel on Friday, July 20, 2012 at 9:44am.

it is assumed that the toothpaste market is perfectly competitive and the current price of a case of toothpaste is 42.00. CPI (the company) has estimated its marginal cost function to be as follows: MC (Marginal Costs) =.006Q (Quantity).
The board would like to know how many cases of toothpaste should be produced in order to maximize profits

Calculus - MathMate, Friday, July 20, 2012 at 6:28pm
In calculus terms,
Profit=P(q)=42q-0.006q*q
dP(q)/dq = 42-0.012q = 0
q=42/0.012=3500 cases.

Answer this Question

Related Questions

Economics - It is assumed that the toothpaste market is perfectly competitive ...
Economics - 5. (Ch. 17 # 5) Sparkle is one firm of many in the market for ...
statistics/ Help!-thanks! - The producers of a new toothpaste claim that it ...
Economics - How does the market price of a good in a monopoly market compare ...
economics - You have the following data. A monopolist produces 1000 units of ...
Microeconomics - What are the condition for a perfectly competivie market? Name ...
ECONOMICS - 1)The tire shop sells 50 tires a day at $75. After they raise the ...
ECONOMICS - 1)The tire shop sells 50 tires a day at $75. After they raise the ...
business - A production run of toothpaste requires a fixed cost of $100,000. The...
economics - A monopoly firm is different from a competitive firm in that A. ...

For Further Reading

First Name:
School Subject:
Answer: