Question: please answer A,B, and C because they all pertain to one question per chegg rules 1. Some values of the marginal profit from the sales
please answer A,B, and C because they all pertain to one question per chegg rules
1. Some values of the marginal profit from the sales of a product are given in the table below. 7 3 1 0 0 Sales 50 100 150 200 250 300 350 400 Marginal Profit --4-2 5 (a) Use linear approximation to estimate how much profit would change in moving from a sales level of 100 to 120. (Hint: you should get an answer of 60.] (b) What is the sign of the second derivative of profit near a sales level of 100? What does that tell us about whether or not our answer in the previous part is likely to be an overestimate or an underestimate? (c) What level of sales appears to provide a local minimum of the profit function? A local maximum? 1. Some values of the marginal profit from the sales of a product are given in the table below. 7 3 1 0 0 Sales 50 100 150 200 250 300 350 400 Marginal Profit --4-2 5 (a) Use linear approximation to estimate how much profit would change in moving from a sales level of 100 to 120. (Hint: you should get an answer of 60.] (b) What is the sign of the second derivative of profit near a sales level of 100? What does that tell us about whether or not our answer in the previous part is likely to be an overestimate or an underestimate? (c) What level of sales appears to provide a local minimum of the profit function? A local maximum
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
