The market research department of a company recommended to management that the company
manufacture and market a poonusing poroduct
on the market. Affos extensive surveys, the
research depost' backed
up
the recommendation
with the demand equation
F = f(p) = 6ooo -'3op
whee
q, is the numbeo of avits that retailers
are likely to buy per month at GH sp per
unit from the finance department, the
• following
cast equation was obtained:
C: 968)= 72,000 + Coq
Assuming demonie equation is R = pq.
Find the profit equations in terms of p only.
calculate the price (s) and the quantity
manded at which the company would break
1
even
solutions