Calculus: Early Transcendentals
Calculus: Early Transcendentals
8th Edition
ISBN: 9781285741550
Author: James Stewart
Publisher: Cengage Learning
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3. TJ Technologies Ltd. is developing a new computer chip. Through market analysis, it is determined
that the total cost of developing a chips is
C(q)
=
9³
3
5g² + 200g + 2000. (dollars)
The chips will be sold for $800 each.
(i) Formulate the company's profit function P(q), then determine how many chips the company
should sell in order to maximize this profit.
(Recall: Profit is revenue minus cost.)
(ii) The marginal cost function is defined to be the derivative C(q) of the total cost function. Find
the production level q that minimizes the marginal cost C'(q).
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Transcribed Image Text:3. TJ Technologies Ltd. is developing a new computer chip. Through market analysis, it is determined that the total cost of developing a chips is C(q) = 9³ 3 5g² + 200g + 2000. (dollars) The chips will be sold for $800 each. (i) Formulate the company's profit function P(q), then determine how many chips the company should sell in order to maximize this profit. (Recall: Profit is revenue minus cost.) (ii) The marginal cost function is defined to be the derivative C(q) of the total cost function. Find the production level q that minimizes the marginal cost C'(q).
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