Explore BrainMass
Share

Explore BrainMass

    price that maximizes total revenue

    This content was COPIED from BrainMass.com - View the original, and get the already-completed solution here!

    Please provide a detailed explanation and step by step solution. I also need to see hope this is graphed.

    Company has determined approximate relationship between quantity (Q) of it's product it can sell and the price in dollars (P) per product:

    Q = -20P + 330

    I know total revenue = price * quantity. I need to undestand how to determine the price that maximizes total revenue. I also need to see how this is done graphically to be able to support the answer.

    © BrainMass Inc. brainmass.com October 9, 2019, 5:40 pm ad1c9bdddf
    https://brainmass.com/economics/microeconomics/price-that-maximizes-total-revenue-63856

    Solution Summary

    Find the price that maximizes total revenue.

    $2.19