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The production function is f(x)=240x1/2 -20x if the price of the commodity produced is $60 per unit and the cost of the input is $20 per unit, how much profit will the firm make if it maximizes profit?

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Related questions

2. (40 points) A firm faces the following inverse demand equation for the commodity it produces P = 100 - Q where P represents the price/unit of the commodity it produces and Q represents the level of output produced. The cost structure of this firm is summarized by the following total cost function: C = 1/3 Q^3 - 7Q^2 + 115.75Q + 20 where C represents the total cost of production.

e. Find the benefit (profit) maximizing level of output?

A company produces x units of commodity A and y units of commodity B each hour. The company can sell all of its units when commodity A sells for P=90-5x dollars per unit and commodity B sells for P=70+4y dollars per unit. The cost (in dollars) of producing these units is given by the joint-cost function C(x,y)=5xy+3. How much of commodity A and commodity B should be sold in order to maximize profit?

Commodity A:______

Commodity B:______

The short-run production function of a profit maximizer firm is given by f(L) = 6L^(2/3), where L is the amount of labour it uses. The cost per unit of labour is w = 6 and the price per unit of output is p = 3.

1) How many units of labour will the firm hire?

2) How much output will the firm produce?

3) If the firm has no other costs, how much will its total profits be?

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