Find the total revenue function and the corresponding demand function.
Asked by pratikbharadia | 28th Dec, 2009, 12:01: PM
Total Revenue function = TR = MR dx = (12-x2+4x) dx = 12x - x3/3 + 4x2/2 + c
TR = PQ = Px where P is the market price and x is demand.
12x - x3/3 + 4x2/2 + c = Px
P = f(x) = (12x - x3/3 + 4x2/2 + c)/x,
Solving for x in terms of P i.e. x = f(P) is the demand function.
Answered by | 28th Dec, 2009, 12:48: PM
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