Consider a firm with total cost (as a function of output, q) C ( q ) =
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Consider a firm with total cost (as a function of output, q) C ( q ) = 12 q2 and facing (inverse) demand (as a function of output, q) p(q) = aqb where −1 < b < 0 and a > 0. Solve for the firm’s optimal (i.e. profit-maximizing) output assuming that this output is positive.
Related Book For
College Accounting A Contemporary Approach
ISBN: 978-0077639730
3rd edition
Authors: David Haddock, John Price, Michael Farina
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