Managerial Economics
posted by alejandro guzman .
Consider the Linear demand function Q = 20  0.5P
c Using calculus, find the level of output, Qrmax, where total revenue reaches its maximum value. What price Prmx maximizes total revenue? What is the value of TR at this maximum point.
d Write the equation for marginal revenue. Using MR, verify that Qrmax derived in part c maximizes total revenue.
e Calculate the point elasticity of demand at Prmax. Does E have the expected value? Explain briefly.
Respond to this Question
Similar Questions

economics
1. Given a firm’s demand function, P = 24  0.5Q and the average cost function, AC = Q2 – 8Q + 36 + 3/Q, calculate the level of output Q which a) maximizes total revenue b) maximizes profits 
managerial economics
Given a firm’s demand function, P = 24  0.5Q and the average cost function, AC = Q2 – 8Q + 36 + 3/Q, calculate the level of output Q which a) maximizes total revenue b) maximizes profits 
economics
2. Given a firm’s demand function, P = 24  0.5Q and the average cost function, AC = Q2 – 8Q + 36 + 3/Q, calculate the level of output Q which a) maximizes total revenue b) maximizes profits 
managerial economics
firms demand function,p=240.54q and the average cost function,AC=Q28Q+36+3/Q,calculate the level of output Q, which maximize total revenue,maximizes profits 
economics
2. Given a firm’s demand function, P = 24  0.5Q and the average cost function, AC = Q2 – 8Q + 36 + 3/Q, calculate the level of output Q which a) maximizes total revenue b) maximizes profits 
ECONOMICS
Q2) Given a firm’s demand function, P = 24  0.5Q and the average cost function, AC = Q2 – 8Q + 36 + 3/Q, calculate the level of output Q which: a) maximizes total revenue b) maximizes profits 
manaegerial economics
iven a firm’s demand function, P = 24  0.5Q and the average cost function, AC = Q2 – 8Q + 36 + 3/Q, calculate the level of output Q which a) maximizes total revenue b) maximizes pr 
Calculus
using the demand function p = 41 − 0.04 q instead of the one given in your book. Round your numeric answers to one decimal place. a) Write the revenue as a function of production, q. R(q) = b) What production level maximizes … 
Calculus
using the demand function p = 41 − 0.04 q instead of the one given in your book. Round your numeric answers to one decimal place. a) Write the revenue as a function of production, q. R(q) = b) What production level maximizes … 
Economics
A firm is currently producing in the elastic portion of its demand curve. What course of action do you recommend for it assuming it wants to raise revenue?