Question

A firm in perfectly competitive market has a cost function of the form C = 5000 10Q + Q2 . Find the profit maximizing quantity for the firm if the market price P is N100. Calculate the profit as a function Q

Answer 1

The profit as a function Q is Q² + 90Q + 5000.

How to calculate the profit?

It should be noted total revenue = Price × Quantity = 100Q

Total cost = 5000 + 10Q + Q²

Therefore, profit will be:

= Revenue - Cost

= 100Q - (5000 + 10Q + Q²)

= -5000 -90Q - Q².

= Q² + 90Q + 5000

Learn more about firm on:

brainly.com/question/25491204

#SPJ1