Mathematics, 10.12.2020 17:00 isaiahcannon6158

Suppose that the inverse demand for a downstream firm is P = 150 − Q. Its upstream division produces a critical input with costs of CU(Qd) = 5(Qd)2. The downstream firm's cost is Cd(Q) = 10Q. When there is no external market for the downstream firm's critical input, the marginal revenue for the downstream firm is:

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Answer from: miarobless12389

The marginal revenue is MT_d = 116.66

Step-by-step explanation:

From the question we are told that

The inverse demand for a downstream firm is P = 150 -Q

The cost of the critical input produced by upstream division is CU(Q_d) = 5(Q_d)^2

The cost of the critical input produced by downstream firm is Cd(Q) = 10Q

Generally

The marginal revenue of the downstream firm - The marginal cost of the downstream firm = Net marginal revenue of downstream

i.e

MR_d - MC_d = MT_d

Also

The marginal revenue of the downstream firm - The marginal cost of the downstream firm = Marginal upstream cost

i.e

MR_d - MC_d = MC_u

Generally the total revenue of downstream firm is mathematically represented as

TR = P * Q

Here Q stands for quantity produced by the downstream firm and TR is the total revenue

TR = [150 - Q] * Q

=> TR = 150Q - Q^2

Generally the marginal revenue of the downstream firm is mathematically evaluated as

$MR_d =\frac{d (TR)}{d Q} = 150 - 2Q$

Generally marginal downstream first cost is mathematically evaluated as

$MC_d = \frac{d(Cd(Q)) }{dQ} = 10$

Generally the net marginal revenue of the downstream firm is mathematically represented as

150 - 2Q -10 = MT_d

=> MT_d = 140 - 2Q

Generally the marginal upstream cost is mathematically represented a

$MC _u =\frac{d [CU(Q_d)]}{dQ_d} = 10(Q_d)$

Generally Q_d = Q this because Q_d represents the quantity produced by the downstream firm and also Q is associated with the cost of the downstream quantity

$MC _u =\frac{d [CU(Q)]}{dQ} = 10Q$

=> 10(Q) = 140 -2Q

=> Q = 11.67

So the net marginal revenue of the downstream firm is mathematically represented as

=> MT_d = 140 - 2(11.67)

=> MT_d = 116.66

Answer from: Quest

what are you trying to solve here

step-by-step explanation:

Answer from: Quest

The answer would he -4,-2 because the points are just on the opposite side. since the x axis is +4 it's going to he -4 and since the y axis is -2 it stays there because whaen rotated it stays in the third quadrant
Hello! could someone with this problem?

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