A company manufactures and sells x cellphones per week. The weekly price-demand and cost equations are given below. p= 400 – 0.5x and C(x) = 20,000 + 130x ... (A) What price should the company charge for the phones, and how many phones should be produced to maximize the weekly revenue? What is the maximum weekly revenue? The company should produce phones each week at a price of $

Principles of Economics 2e
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ISBN:9781947172364
Author:Steven A. Greenlaw; David Shapiro
Publisher:Steven A. Greenlaw; David Shapiro
Chapter7: Production, Costs, And Industry Structure
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A company manufactures and sells x cellphones per week. The weekly price-demand and cost equations are given
below.
p= 400 – 0.5x and C(x) = 20,000 + 130x
%3D
(A) What price should the company charge for the phones, and how many phones should be produced to maximize
the weekly revenue? What is the maximum weekly revenue?
The
company
should produce
phones each week at a price of $
(Round to the nearest cent as needed.)
The maximum weekly revenue is $
(Round to the nearest cent as needed.)
(B) What price should the company charge for the phones, and how many phones should be produced to maximize
the weekly profit? What is the maximum weekly profit?
The company should produce
phones each week at a price of $
(Round to the nearest cent as needed.)
The maximum weekly profit is $ . (Round to the nearest cent as needed.)
Transcribed Image Text:A company manufactures and sells x cellphones per week. The weekly price-demand and cost equations are given below. p= 400 – 0.5x and C(x) = 20,000 + 130x %3D (A) What price should the company charge for the phones, and how many phones should be produced to maximize the weekly revenue? What is the maximum weekly revenue? The company should produce phones each week at a price of $ (Round to the nearest cent as needed.) The maximum weekly revenue is $ (Round to the nearest cent as needed.) (B) What price should the company charge for the phones, and how many phones should be produced to maximize the weekly profit? What is the maximum weekly profit? The company should produce phones each week at a price of $ (Round to the nearest cent as needed.) The maximum weekly profit is $ . (Round to the nearest cent as needed.)
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