Veronica martz has determined that demand for her derby, Microeconomics

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Veronica martz has determined that demand for her derby

Veronica Martz has determined that demand for her Derby lunches is given by Q= 150-0.4P and a cost equation given by C= 80+5Q.

1) Decide the optimal price and quantity for the firm. (Price should be calculated to nearest cent. Example: $ 5.43 must not be rounded to $ 5.00.)

2) Presume that costs change to C= 50+10Q. Decide the new optimal price and quantity. Describe why the results differ from those in part a.

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Microeconomics: Veronica martz has determined that demand for her derby

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Microeconomics: Veronica martz has determined that demand for her derby

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