A company manufactures two products. If it charges price pi for product i, it can sell qi units of product i, where q1 = 80 – 2p1 + p2 and q2 = 100 – 3p2 + p1. It costs $8 to produce a unit of product 1 and $15 to produce a unit of product 2. a.  How many units of each product should the company produce to maximize its profit? If needed, round your answers to one decimal digit.   Product 1 Product 2 Production quantities         b.  What prices should the company charge to maximize its profit? If needed, round your answers to the nearest cent.   Product 1 Product 2 Prices $

Elementary Algebra
17th Edition
ISBN:9780998625713
Author:Lynn Marecek, MaryAnne Anthony-Smith
Publisher:Lynn Marecek, MaryAnne Anthony-Smith
Chapter8: Rational Expressions And Equations
Section8.9: Use Direct And Inverse Variation
Problem 501E: The force needed to break a board varies inversely with its length. If Tom uses 20 pounds of...
icon
Related questions
Question

A company manufactures two products. If it charges price pi for product i, it can sell qi units of product i, where q1 = 80 – 2p1 + p2 and q2 = 100 – 3p2 + p1. It costs $8 to produce a unit of product 1 and $15 to produce a unit of product 2.

a.  How many units of each product should the company produce to maximize its profit? If needed, round your answers to one decimal digit.

  Product 1 Product 2
Production quantities        

b.  What prices should the company charge to maximize its profit? If needed, round your answers to the nearest cent.

  Product 1 Product 2
Prices $   $  
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 3 steps

Blurred answer
Recommended textbooks for you
Elementary Algebra
Elementary Algebra
Algebra
ISBN:
9780998625713
Author:
Lynn Marecek, MaryAnne Anthony-Smith
Publisher:
OpenStax - Rice University
Algebra: Structure And Method, Book 1
Algebra: Structure And Method, Book 1
Algebra
ISBN:
9780395977224
Author:
Richard G. Brown, Mary P. Dolciani, Robert H. Sorgenfrey, William L. Cole
Publisher:
McDougal Littell
Glencoe Algebra 1, Student Edition, 9780079039897…
Glencoe Algebra 1, Student Edition, 9780079039897…
Algebra
ISBN:
9780079039897
Author:
Carter
Publisher:
McGraw Hill
Intermediate Algebra
Intermediate Algebra
Algebra
ISBN:
9781285195728
Author:
Jerome E. Kaufmann, Karen L. Schwitters
Publisher:
Cengage Learning
College Algebra
College Algebra
Algebra
ISBN:
9781337282291
Author:
Ron Larson
Publisher:
Cengage Learning
Trigonometry (MindTap Course List)
Trigonometry (MindTap Course List)
Trigonometry
ISBN:
9781337278461
Author:
Ron Larson
Publisher:
Cengage Learning