Pricing Concepts -Transportation
Engineering
A transportation firm is producing a transport service (with
quantity Q trips) with the following cost and revenue
functions:
Total Cost: TC=$36,000 + $200Q + $0.4Q^2
Total Revenue: TR=$900Q-$0.1Q^2
Set up a table or spreadsheet for trip output/supply (Q), price
(P), total revenue (TR), marginal revenue (MR), total cost (TC),
marginal cost (MC), average cost (AC), total profit (π), and
marginal profit (Mπ). Establish a range for Q from 0 to 1,000 in
increments of 100...