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A Company Has Two Manufacturing Plants Which Manufacture the Same

Question 104

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A company has two manufacturing plants which manufacture the same item. Suppose the cost function is given by A company has two manufacturing plants which manufacture the same item. Suppose the cost function is given by where q<sub>1</sub> and q<sub>2 </sub>are the quantities (measured in thousands) produced in each plant. The total demand q<sub>1 </sub>+ q<sub>2</sub> is related to the price, p, by How much should each plant produce in order to maximize the company's profit? where q1 and q2 are the quantities (measured in thousands) produced in each plant. The total demand q1 + q2 is related to the price, p, by A company has two manufacturing plants which manufacture the same item. Suppose the cost function is given by where q<sub>1</sub> and q<sub>2 </sub>are the quantities (measured in thousands) produced in each plant. The total demand q<sub>1 </sub>+ q<sub>2</sub> is related to the price, p, by How much should each plant produce in order to maximize the company's profit? How much should each plant produce in order to maximize the company's profit?

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The first plant should produce...

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