posted by Dan
I have a project and part of it has to do with revenue, demand and profit. I know that Revenue=price x quantity but can profit equal price x quantity demanded? I have both written down and I am getting confused because I was supposed to find the profit but I have the revenue function.
Profit= price x quantity - costs
and costs= fixed cost + unitcost x quantity.
So there is no way profit = price x quantity demanded because I have q=-60p+950 and Revenue or profit=-60p^2+950p. I then have to find out the profit made by selling things at 5.50, 10 , and 15 dollars. I was told to plug these numbers into -60p^2+950p to get the profit and determine which one gives you the most profit.