54. Data: In the following, price, revenue and cost functions, which have been established by an...

Transcribed Image Text:

54. Data: In the following, price, revenue and cost functions, which have been established by an organization for one of its products, Q, represent the number of units produced and sold per week: Price ( per unit) = 50-0.025Q Marginal revenue ( per unit) = 50-0.05Q Total weekly cost= 1,000+15Q Question: What price per unit should be set in order to maximize weekly profit? A) 25.00 B) 32.50 C) 15.00 D) 17.50 54. Data: In the following, price, revenue and cost functions, which have been established by an organization for one of its products, Q, represent the number of units produced and sold per week: Price ( per unit) = 50-0.025Q Marginal revenue ( per unit) = 50-0.05Q Total weekly cost= 1,000+15Q Question: What price per unit should be set in order to maximize weekly profit? A) 25.00 B) 32.50 C) 15.00 D) 17.50

Answer rating: 100% (QA)

To maximize weekly profit we need to find the quantity Q where marginal cost MC equals m... View the full answer