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Profit Maximization

It costs Dan's company C(x) = x^2 - 3x + 64 dollars to produce x items. The selling price (p) when x hundred units are produced is p(x) = (44 - x)/4. Determine the level of production (# of items produced) that maximizes profit.

Solution Summary

The most critical question for any business is to determine the optimal quantity of the output that will maximize his or her profit. This problem illustrates how to determine this optimal quantity.