A large company in the communication and publishing industry has quantified the relationship between the price of one of its products and the demand for this product as Price 160-0.01x Demand for an annual printing of this particular product. The foxed costs per year (e. per printing)= $4T,000 and the variable cost per unit $35. What is the maximum profit that can be achieved? What is the unit price at this point of optimal demand? Demand is not expected to be more than 7,000 units per year. The maximum profit that can be achieved is S (Round to the nearest dolar.) The unit price at the point of optimal demand is S per unit (Round to the nearest cent)

A large company in the communication and publishing industry has quantified the relationship between the price of one of its products and the demand for this product as Price 160-0.01x Demand for an annual printing of this particular product. The foxed costs per year (e. per printing)= $4T,000 and the variable cost per unit $35. What is the maximum profit that can be achieved? What is the unit price at this point of optimal demand? Demand is not expected to be more than 7,000 units per year. The maximum profit that can be achieved is S (Round to the nearest dolar.) The unit price at the point of optimal demand is S per unit (Round to the nearest cent)

Managerial Economics: Applications, Strategies and Tactics (MindTap Course List)

14th Edition

ISBN:9781305506381

Author:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris

Publisher:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris

Chapter11: Price And Output Determination: Monopoly And Dominant Firms

Section: Chapter Questions

Problem 6E

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