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Answer to Question #53469 in Finance for Asif
Question #53469
How to derive the price from TR=100,000Q-10Q^2
Expert's answer
TR = P*Q = (100 - 10*Q)*Q .
Then P = 100 - 10*Q .
To maximaze TR we have to find an optimal Q:
MR = (d TR)/(d Q) = 100 - 20Q = 0 .
Then we can find Q = 5 and P = 100 - 10*Q = 100 - 10*5 = 50
Then P = 100 - 10*Q .
To maximaze TR we have to find an optimal Q:
MR = (d TR)/(d Q) = 100 - 20Q = 0 .
Then we can find Q = 5 and P = 100 - 10*Q = 100 - 10*5 = 50
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#340153 on Dec 2023
#340153 on Dec 2023
Comments
Dear Asif, find fixed answer attached.
Did not understand the answer of the above equation. please elaborate it in easy way. How to derive the price from TR=100,000Q-10Q^2? Answer The price P = MR and MR = TR', so P = MR = TR' = (100,000Q-10Q^2)' = -1 - 20Q
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