A quadratic revenue function often occurs in practice. The reason is that as more units are produced,

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A quadratic revenue function often occurs in practice. The reason is that as more units are produced, the price must be lowered in order to sell them all.

a) A company has found that if they produce x units of a product, they must sell them each at $10 - 0.2x if they are to sell all of them. Determine the revenue function.

b) Their fixed costs are $40 and their variable costs per unit are $1. Determine the cost and profit functions.

c) Graph all three functions (Revenue, Profit and Cost on the same graph) over an appropriate range.

Related Book For answer-question

Mathematical Applications for the Management, Life and Social Sciences

ISBN: 9781337625340

12th edition

Authors: Ronald J. Harshbarger, James J. Reynolds

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Posted Date: Jan 09, 2021 10:31 PM

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A quadratic revenue function often occurs in practice. The reason is that as more units are produced,

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Number of units produced x 3D Selling foice of Cach itom Selenue function Rx 100... View the full answer

Mathematical Applications for the Management, Life and Social Sciences

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