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Chain Rule, Log Differentiation & Rate of Change · Question 115 of 130

Question 115

EasyOriginal question

A shop can sell xx lamps a week at a price of p=120−2xp = 120 - 2x rupees each. What is the marginal revenue when x=20x = 20?

Options for question 115

Show the answer and explanation
CorrectNot quiteAnswer A

Correct answer: A

Explanation

  1. Revenue is price times quantity: R(x)=x(120−2x)=120x−2x2R(x) = x(120 - 2x) = 120x - 2x^{2}.

  2. Marginal revenue R′(x)=120−4xR'(x) = 120 - 4x; at x=20x = 20 it is 120−80=40120 - 80 = 40 rupees.

Worth noting

₹80 is the price p(20)p(20); marginal revenue is the derivative of the revenue xpxp, not the price.

Concept
Marginal revenue from a price law
Typical time
60 s
Your time
—
The rule this testsRate of change of quantities
Practise this chapter →

Ten questions from Chain Rule, Log Differentiation & Rate of Change, at your own pace.

Practise this chapter →

Ten questions from Chain Rule, Log Differentiation & Rate of Change, at your own pace.