Question

Refresh Your Math&Graphing Skills ollewing ta ole shows some possible choices this store could make Quantity (Air conditioners per year) Total Revenue (Px Q) (Dollars per year) Price (Dollars per air conditioner) 400 300 200 100 100 30,000 40,000 30,000 200 400 ph below plots the fem's total revenue curve: that is, the relationship between quantiy and total revenue given by the two right n the table above. The five choices are also labeled. Finally, two black lines are shown; these lines are tangent to the green curve at P and D. 5o

Answer 1

The maximum is reached when the quantity is 200 and the maximum value is 400,000 (point C). At this point, the slop of the total revenu curve is ZERO, as it is horizontal t the x-axis.