Question: Suppose you estimate the short - run total cost function to be TC = 2 0 0 + 1 0 Q + 0 . 1

Suppose you estimate the short-run total cost function to be TC =200+10Q +0.1Q2.
Also, suppose you can sell every unit produced at a $500 price so you have a marginal revenue of $500 for each unit.
If so, which rounded value below is closest to your maximum profit at the optimal profit maximizing quantity? (Hint, solve for TR = P*Q and solve for TC using total cost function and your optimal Q)
Question 10 options:
a)
$450,000
b)
$600,000
c)
$500,000
d)
$550,000
1550
c)
1850
d)
2450

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