Final answer:
To find the total cost of producing 3 units using the supply function Pv = 54 + 5Qv, you substitute Qv with 3 and calculate the price Pv as $69. This price can be interpreted as the cost to the supplier for providing those 3 units.
Step-by-step explanation:
The given (inverse) supply function is Pv = 54 + 5Qv. You've asked for the total cost of producing Q = 3 units. In economics, the supply function typically relates the price of a good to the quantity supplied, and finding the cost directly from this form is not typical - typically, you'd have a cost function. However, if we assume that the given supply function indirectly represents cost - in the sense that it equates the price needed to supply a certain quantity - we can find the price one would have to charge to supply 3 units, which can be thought of as the cost to the supplier to provide those units.
To calculate this, we'll use the given supply function:
- First, substitute Qv = 3 into the supply function: Pv = 54 + 5(3).
- Compute the result: Pv = 54 + 15 which gives Pv = 69.
Therefore, the total cost (or price required) to produce 3 units would be $69.