so, if i write the equation R= (6,570,000/q^1.3)(q), then that gives me R in terms of q, when i need to maximize r in terms of p? i'm just confused silly here, and would appreciate a nudge in the right direction(or a violent shove)
Word problem, stuck at part a. (doh) I know that R=price*quantity, but i'm not sure how to set this one up and what to get the derivative of.
demand function for corn:
p=6,570,000/q^1.3
q is the number of bushels of corn that could be sold at p dollars per bushel in one year. Assume that at least 10,000 bushels must be sold each year.
a) How much should farmers charge per bushel to maximize annual revenue?
b) how much corn can farmers sell each year at that price?
c) what is the farmers' resulting revenue?
so this confuses me more, heh, how is it that revenue can be such a large negative number?
and q cannot be any less than 10,000, so it's not like i can make q a negative number to make revenue positive.
Hmmm...
the revenue is not negative. it's derivative is, there's a difference.
by the way, are you sure your demand function is correct? i can't get zero for either derivative (i solved for R in terms of p, which is what you should have done. the derivative here is never zero)