Economics:
Economics:
10th Edition
ISBN: 9781285859460
Author: BOYES, William
Publisher: Cengage Learning
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Chapter 29, Problem 5E
To determine

To compute:

The marginal factor cost.

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need hand calculation
A bagel shop sells 400 bagels a day at a price of $2 per bagel. Market research shows that a decrease of price of $0.1 would increase sales by 10 bagels per day. Furthermore, a price increase would not be acceptable to the customers. Find the price at which the company should sell bagels in order to maximize its profit. Show all steps of the optimization task.
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