manager faces two separate markets. The estimated demand functions for the two markets are Q A =
Question:
manager faces two separate markets. The estimated demand functions for the two markets are
QA = 1,600 − 80PA and QB = 2,400 − 100PB
a. Find the inverse marginal revenue functions.
b. Find the total marginal revenue functions.
c. Draw a graph of MRA, MRB, and MRB. Check your algebraic derivation of total marginal revenue.
d. If the manager has a total of 650 units to sell, how should the 650 units be allocated to maximize total revenue?
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Given that Demand functions of market A and B Q 1600 80P and Q 2400100P a for inverse marginal reven...View the full answer
Answered By
Pulkita jain
Teaching is always been my passion since I was in class 12th giving tuition to play group student to 8th standard students and after completing my post graduation and clearing NET exam I have been continuously giving coaching for economics to 11&12th standard students. After having this much experience I am well aware mind set of student and understand how to infuse the topics in minds of students by starting right from the very basic concept. I strongly believe that a learning while earning helps a person in raising confidence level and grow more .
0 Reviews
10+ Question Solved
Related Book For 
Managerial Economics Foundations of Business Analysis and Strategy
ISBN: 978-0078021909
12th edition
Authors: Christopher Thomas, S. Charles Maurice
Question Posted:
