Asked by Lindsay

How do you find maximum revenue, maximum profit, and minimum average cost? Our teacher gave us a project to teach ourselves the section, but I can't learn very well even with her teaching, so I don't know how I'm supposed to do this...
Answered by Steve
revenue is price * quantity
profit is revenue - cost
avg cost is totalcost/quantity

as usual, max/min is found via the derivative
Answered by Lindsay
I don't remember how to did min/max. I can get as far as the critical numbers...
Answered by Steve
if you can find the critical numbers, that is where the derivative is zero. That is the point of min/max of the function.

Check some of the related links below; you will find such problems worked out.

Also, a net search for minimum revenue and such will produce many examples showing the method.