Assuming the inverse demand function for good Z can be written as P = 90 - 3Q,the corresponding total revenue function is:
A)6Q.
B)90 - 6Q.
C)90 - 3Q.
D)90Q - 3Q².

Question

Quizplus · Accepted Answer

Total revenue (TR) is calculated as the product of price (P) and quantity (Q), thus TR = P*Q. Substituting the given demand function into this expression, we get TR = (90 - 3Q)*Q = 90Q - 3Q². Therefore, the corresponding total revenue function is D) 90Q - 3Q².

Assuming the Inverse Demand Function for Good Z Can Be