Question

The revenue for a business, as a function of units produced, x, is shown below by R(x). C(x) represents the cost of producing x units. Calculate the profit function for this business. R(x)= 14x + 300, C(x)= 6x- 920

Answer 1

The profit function P(x) is calculated by subtracting the cost function C(x) from the revenue function R(x), resulting in P(x) = 8x + 1220.

Step-by-step explanation:

To calculate the profit function for the business, you need to subtract the cost function, C(x), from the revenue function, R(x). The profit function, P(x), is therefore defined as P(x) = R(x) - C(x). Given the revenue function R(x) = 14x + 300 and the cost function C(x) = 6x - 920, the profit function is:

P(x) = (14x + 300) - (6x - 920)

P(x) = 14x + 300 - 6x + 920

P(x) = 8x + 1220

This profit function represents the firm's total profits at different levels of output, x.