A manufacturer of two products (Widgets and Gadgets) makes a profit of $110 for each widget sold and $120 for each gadget sold. However, production of these products generates hazardous waste charges at the rate of 3w2 (where Wis the number of Widgets produced) and 264 (where G is the number of Gadgets produced). The manufacturer has ample supplies of all raw materials and can sell all the Widgets and Gadgets it produces. The firm has sufficient capacity to produce any realistic quantity of both products. What is the optimal quantity of each product to produce? (Round your answers to 1 decimal place.) 18.3 Answer is complete and correct. 2.4 Gadgets Widgets and What is the maximum profit the manufacturer can earn? (Round your answer to 2 decimal places.) Answer is complete but not entirely correct. Maximum profit 1,216.46

A manufacturer of two products (Widgets and Gadgets) makes a profit of $110 for each widget sold and $120 for each gadget sold. However, production of these products generates hazardous waste charges at the rate of 3w2 (where Wis the number of Widgets produced) and 264 (where G is the number of Gadgets produced). The manufacturer has ample supplies of all raw materials and can sell all the Widgets and Gadgets it produces. The firm has sufficient capacity to produce any realistic quantity of both products. What is the optimal quantity of each product to produce? (Round your answers to 1 decimal place.) 18.3 Answer is complete and correct. 2.4 Gadgets Widgets and What is the maximum profit the manufacturer can earn? (Round your answer to 2 decimal places.) Answer is complete but not entirely correct. Maximum profit 1,216.46

Principles of Economics 2e

2nd Edition

ISBN:9781947172364

Author:Steven A. Greenlaw; David Shapiro

Publisher:Steven A. Greenlaw; David Shapiro

Chapter13: Positive Externalities And Public Goods

Section: Chapter Questions

Problem 23P: HighFlyer Airlines wants to build new airplanes with greatly increased cabin space. This will allow...

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