You were given a Cost function C(x), and a Revenue function R(x).
1. Set up a profit function,
P(x) = R(x) -C(x)
2. Find the Breakeven points,
At break-even, R(x) = C(x)
3. Find the quantity that leads to the maximum profit,
In the P(x), the x = -b/2a is what you are looking for.
That is if P(x) is in the form
P(x) = ax^2 +bx +c
4. Find the maximum Profit.,
Maximum profit is the value of P(x) when x = -b/2a
and 5. Find the price that leads to the maximum profit.
Umm, this is related to x = -b/2a
If x is not the quantity or number of products o demand, then x must be the price.
Now here is my problem. I fell asleep in your class that Monday when C(x) and R(x) were given. That's why I don't know what really is x suppopsed to be.