A manufacturer of men’s shirts determines that her costs will be 500 dollars for overhead plus...

A manufacturer of men’s shirts determines that her costs will be 500 dollars for overhead plus 9 dollars for each shirt made. Her accountant has estimated that her selling price s(x) should be determined by sx=30-0.2x where x is the number of shirts sold. Thus, the revenue function is the selling price of shirts times the number of shirts sold, i.e. Rx=x(30-0.2x) where x is the number of shirts
Give the formula for the profit function where x is the number of shirts.

b. How many shirts should be produced to maximize profit?

c. At what price will the shirts be sold to maximize profit?

d. What is her resulting profit?

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Expert Solution

milcah answered 1 year ago

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