Enpar manufactures engine parts for Ford using two plants, one in Detroit, MI and one in Greenville, SC. The marginal revenue functions for the two plants are: Detroit: MRD = 55 – 0.80 QD Greenville: MRG = 80 – 0.4 QG where QD and QG are outputs of engine parts (in units) from the Detroit and Greenville plants, respectively. The marginal cost of production in Detroit (MCD) is 15 and the marginal cost of production in Greenville (MCG) is 20. If Enpar has a total produce limit of 140 units of engine parts, how many of the engine parts should be produced in Greenville (QG)?
pleas show work
Please comment if having any query.
UPVOTE, your help means a lot to me.
I really need your generous support.
Get Answers For Free
Most questions answered within 1 hours.