You've decided to sell sweatshirts for the upcoming game. You project that at a price of $36.48 per sweatshirt, you will be able to sell 120 shirts. In order to sell 230 sweatshirts, you would need to lower the price to $28.67 per sweatshirt. In order to produce the sweatshirts, it costs you $2.12 per sweatshirt on top of fixed costs of $310. What price should you charge in order to earn maximize your profit? Assume linear demand. C... per sweatshirt in order to maximize your profit. You should charge a price of $ If necessary, round to two decimal places. Do not include units. W
You've decided to sell sweatshirts for the upcoming game. You project that at a price of $36.48 per sweatshirt, you will be able to sell 120 shirts. In order to sell 230 sweatshirts, you would need to lower the price to $28.67 per sweatshirt. In order to produce the sweatshirts, it costs you $2.12 per sweatshirt on top of fixed costs of $310. What price should you charge in order to earn maximize your profit? Assume linear demand. C... per sweatshirt in order to maximize your profit. You should charge a price of $ If necessary, round to two decimal places. Do not include units. W
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Transcribed Image Text:You've decided to sell sweatshirts for the upcoming game. You project that at a price of $36.48 per sweatshirt, you will be able to sell 120 shirts. In
order to sell 230 sweatshirts, you would need to lower the price to $28.67 per sweatshirt. In order to produce the sweatshirts, it costs you $2.12 per
sweatshirt on top of fixed costs of $310. What price should you charge in order to earn maximize your profit?
Assume linear demand.
C...
per sweatshirt in order to maximize your profit.
You should charge a price of $
If necessary, round to two decimal places. Do not include units.
W
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