Question #15375

Your startup company Fabulous Fudge Inc. sells toee lled chocolate

bars that you and your partner manufacture in your parents' garage.

Let p denote the price of one chocolate bar in dollars and q the number of bars. Daily

demand for your chocolate bars is given by:

q(p) = { 1000; if p < 1,

{ 1000(2-p); if 1≤p≤2,

{ 0; if p > 2.

Your production cost is $200 per day plus $0.50 per chocolate bar.

(a) Draw the graphs of your daily revenue R(p) and of your daily cost C(p)

depending on the price p of one chocolate bar.

(b) Determine the break-even points and the interval of prices for which your

business is protable.

(c) For which price p do you maximize your daily profit?

bars that you and your partner manufacture in your parents' garage.

Let p denote the price of one chocolate bar in dollars and q the number of bars. Daily

demand for your chocolate bars is given by:

q(p) = { 1000; if p < 1,

{ 1000(2-p); if 1≤p≤2,

{ 0; if p > 2.

Your production cost is $200 per day plus $0.50 per chocolate bar.

(a) Draw the graphs of your daily revenue R(p) and of your daily cost C(p)

depending on the price p of one chocolate bar.

(b) Determine the break-even points and the interval of prices for which your

business is protable.

(c) For which price p do you maximize your daily profit?

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