Marginal profit, and maximizing profit & average profit  Derivative Applications
Marginal profit, and maximizing profit & average profit
Related Concepts
 Consumer and producer surplus
Lessons
Notes:
Marginal Profit (MP) is the additional profit that is gained when you increase the unit by one. It is also the derivative of the profit function. In other words,
Average Profit (AP) is the amount of profit generated per unit. In other words,
In this section, we would want to find the quantity $q$, which maximizes profit and average profit. To maximize profit, we would want to solve for:
To maximize average profit, we would want to solve for:

Intro Lesson
Marginal Profit, and Maximizing Profit & Average Profit Overview:

1.
Marginal Profit
Given the following information, find the marginal profit and the value of $q$ which maximizes the profit. Lastly, calculate the maximum profit.

2.
Average Profit
Given the following information, find the marginal average profit and the value of $q$ which maximizes the average profit: