- 14 Marks
QT – Nov 2016 – L1 – Q6b – Elements of Calculus
Calculate the number of tons of low and high-grade steel to produce to maximize total revenue and determine the maximum total revenue.
Question
Tema Steel Plant is capable of producing q1 tons per day of low-grade steel and q2 tons per day of high-grade steel, where: 
If the fixed market price of low-grade steel is GH¢6.90 and the fixed market price of high-grade steel is GH¢13.80:
i) Determine the number of tons of low-grade steel and high-grade steel to be produced to maximize total revenue. (10 marks)
ii) Determine the maximum total revenue. (4 marks)
Find Related Questions by Tags, levels, etc.
- Tags: Calculus, Production, Revenue Maximization, Steel Plant
- Level: Level 1
- Topic: Elements of Calculus
- Series: NOV 2016
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