Revenue Function Khan Academy

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Revenue function khan academy. However if the price is 70 dollars the demand is 5000. Then you will need to use the formula for the revenue r x p x is the number of items sold and p is the price of one item. X i is the number of items sold. Well your profit as a function of x is just going to be equal to your revenue as a function of x minus your cost as a function of x.

Since profit is defined to be revenue minus cost the profit function is. After some research a company found out that if the price of a product is 50 dollars the demand is 6000. Revenue is income cost is expense and the difference revenue cost is profit or loss. Therefore our profit function equation will be as.

If you produce a certain amount and let s say you bring in i don t know 10 000 of revenue and it costs you 5 000 to produce those shoes you ll have 5 000 in profit. They prepare educational videos posted on youtube and their site. P i is the price for the item. B we can find the profit that results from selling 500 copies by finding that is plugging 500 into the profit function.

R p 1 x 1 p 2 x 2 p n x n where. Learn for free about math art computer programming economics physics chemistry biology medicine finance history and more. X lemonade is the number of lemonades sold. If the lemonade stand also sold cookies for 1 apiece the revenue function would be.

Calculating the cost function. R 0 50 x lemonade 1 00 x cookie. Donations from people ads on their youtube videos. C to find the break even quantity we can either set revenue.

Let s continue with our orange juice producing example in this situation i want to think about what a rational quantity of orange juice might be what would be a rational quantity of orange juice to produce given a market price so let s say that the market price right now is 50 cents a gallon and i m going to assume that there are many producers here so we re going to have to be price takers. We get this means that if they sell 500 newspapers it will result in a loss of. P x r x c x 5000 4700 300 4700 came from part 1. Once again put x 25.

Find the revenue function. R x 200 x 200 25 5000. Essentially the average cost function is the variable cost per unit of 0 30 plus a portion of the fixed cost allocated across all units. So the revenue is the amount you sell the tables for multiplied by how many tables.

Graphs of revenue cost and profit functions for ice cream bar business at price of 1 50. R x the revenue function. C x the cost function. X cookie is the number of cookies sold.