Gce Model Questions Vol1 2022 Economics Question 46

Practice objective / multiple choice question 46 from the 2022 Gce Model Questions Vol1 Economics examination.

Gce Model Questions Vol1 2022 Economics Objective / Multiple Choice Medium Difficulty
Question 46 GCE_MODEL_QUESTIONS_VOL1 • 2022 • ECONOMICS • objective

Total cost (TC) of producing \(Q\) units is given by \(TC = 0.5Q^{2} + 30Q + 200\). Total revenue (TR) is \(TR = 80Q - 0.2Q^{2}\). (a) At what output level is profit maximised? (b) What is the maximum profit, rounded to the nearest whole unit?

Answer Options

A. Output ≈ 30.0 units; Maximum profit ≈ 600
B. Output ≈ 25.5 units; Maximum profit ≈ 450
C. Output ≈ 40.2 units; Maximum profit ≈ 720
Correct Answer D. Output ≈ 35.7 units; Maximum profit ≈ 693
Correct Answer
D
Correct Option:
Output ≈ 35.7 units; Maximum profit ≈ 693

About This Question

This is Gce Model Questions Vol1 2022 Economics Question 46. It is one of the objective questions from the 2022 Gce Model Questions Vol1 Economics examination.

Difficulty level: Medium .

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