The demand for good X is estimated to be represented by:. Currently, the firm has priced the good X at $5.
$$Q _ { X } = 200 - 5 P$$ (i)To maximize revenues, should the firm increase or decrease the price?
(ii)What was the original level of revenues and what is the revenue at the optimum price?

Question

The demand for good X is estimated to be represented by:. Currently, the firm has priced the good X at $5.
 $$Q _ { X } = 200 - 5 P$$ (i)To maximize revenues, should the firm increase or decrease the price?
(ii)What was the original level of revenues and what is the revenue at the optimum price?

Quizplus · Accepted Answer

The Answer of The demand for good X is estimated to be represented by:. Currently, the firm has priced the good X at $5.
 $$Q _ { X } = 200 - 5 P$$ (i)To maximize revenues, should the firm increase or decrease the price?
(ii)What was the original level of revenues and what is the revenue at the optimum price?

The Demand for Good X Is Estimated to Be Represented QX=200−5PQ _ { X } = 200 - 5 PQX​=200−5P

The Demand for Good X Is Estimated to Be Represented $Q _ { X } = 200 - 5 P$