consider the graph xy=1
This is just a hyperbola in the 1st quadrant, with horizontal and vertical asymptotes.
Revenue Function: R(x)=xp
One common relation between p and x is an equation of the form;
px=a, where a is a positive constant.
1.) With the horizontal axis representing x and the vertical axis representing p, sketch the general shape of the demand curve associated with this relationship.
2.) What is the smallest feasible value of x in this relationship?
3.) What value of p corresponds to the smallest feasible value of x?
4.) Is there a smallest feasible value for p in this relationship?
5.) Find a formula for the revenue function R(x).
6.) What class of function is R(x)?
7.) How would you describe the graph of R(x)?
1 answer
1 answer