I don't see anything about price. Is p(q) the price? If so, then since revenue = price * quantity,
profit = pq-c
so expand that and find where the derivative is zero.
For a monopolistโs product, the demand function is ๐ = 72 โ 0.04๐ and the cost
function is ๐ = 500 + 30๐. At what level of output will the profit be maximized? At
what price does this occur and what is the profit?
ANSWER: 525, RM51, RM10,525
I WANT THE STEPS
ITS OPTIMIZATION
1 answer