Answer to Question #141150 in Economics for Mr. Dinesh Pal Singh

Question

27. Given the total revenue function TR = 50Q - 0.5 Q2
and the total cost function TC = 2000 + 200Q - 0.2Q2 + 0.001Q3
Find the marginal revenue and the marginal cost functions.

Answer 1

The marginal revenue and the marginal cost functions are:

MR = TR'(Q) = 50 - Q,

$MC = TC'(Q) = 200 - 0.4Q + 0.003Q^2.$