A few days ago
Anonymous

Use optimisation to calculate the price that will yeild the maximum total revenue for product2z”,?

where total revenue (r)=)=1200p-3p(2)

Top 1 Answers
A few days ago
MsMath

Favorite Answer

R(p) = 1200p – 3p^2

Take the derivative

R'(p) = 1200 – 6p

Set equal to zero.

1200 – 6p = 0

1200 = 6p

1200/6 = p

200 = p

The maximum revenue occurs when the price is 200.

The actual revenue can be found by evaluating R(p) at p=200.

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