Intermediate Macro Economics
posted by Stacie on .
To complete the analysis, Chuck wants to know more about the revenue that he can generate from his farm.
The price of corn, p(y), depends on how much Chuck produces. The price function is speci ed as
p(y) = 3 0:05y
c. The revenue that Chuck can generate depends on both the price and the quantity of corn produced.
Thus, the revenue function R(y) is
R(y) = p(y)*y = 3y-0.05ysquared
Draw a graph to show the relationship between the revenue and the quantity of corn produced, with
R(y) on the y-axis and y on the x-axis. Label your graph.