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Topic: Maximuns/Minimums
Replies: 1   Last Post: Nov 19, 2004 4:16 PM

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Posts: 1
Registered: 1/25/05
Posted: Nov 5, 2004 12:07 AM
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Can someon plz help me solve these:

1) The cost per unit to produce a CD is $50. The manufacturer charges
$85 per unit for orders of 100 or less. To encourage large orders, the
manufactures reduces the price by 0.05 per unit for orders in excess
of 100. Determine the order size that maximizes
(a) Revenue
(b) Profit

2. A pharmaceutical company sells an sntibiotic in bulk at a price or
$75 per unit. The daily production cost in dollars for X units is
C(x) = 100000 + 60x +0.0025xsquared. The daily production capacity is
2500 units. Should the company adjust this amount? Justify your



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