Question: Below is some data for a retail store selling T-Shirts: Complete the chart below, and state the number of T-shirts that should be sold in
Below is some data for a retail store selling T-Shirts: Complete the chart below, and state the number of T-shirts that should be sold in this business to maximize profits:
| Price | Quantity | Total Revenue | Marginal Revenue | Marginal Costs | Total Costs | Profit |
| $12 | 0 | $0 | $0 | $0 | $0 | $0 |
| $11 | 1 | $11 | $11 | $4 | $4 | $7 |
| $10 | 2 | ________ | $__________ | $4 | $ | $12 |
| $9 | 3 | $27 | $7 | $4 | $12 | $15 |
| $8 | 4 | $__________ | $5 | $___________ | $ | $16 |
| $7 | 5 | $35 | $3 | $____________ | $20 | $_________ |
| $6 | 6 | $___________ | $___________ | $4 | $ | $12 |
| $5 | 7 | $___________ | $-1 | $___________ | $28 | $_________ |
Optimal number of units to be sold:
Why?
On a separate sheet of paper draw the following three graphs: TR TC, MR MC, and Net Profit.
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