Assignment:
Suppose a small bicycle manufacturer makes cheap bikes that sell for 180$ each. The total cost of producing x bikes (in $) is given by c(x)=6000+240x-0.8x^2, where x is up to 200 bikes.
a. Write down the revenue function.
b. Graph the cost and revenue functions on suitable scales, for x from 0 to 200.
c. Find the break even point: the number of units (to the nearest whole number) which need to be produced for the revenue=cost. Use algebra.
d. Find the profit function p(x), and use this to find the number of units which produces the maximum profit. (hint: the marginal profit might help).
Provide complete and step by step solution for the question and show calculations and use formulas.