1. **Stating the problem:**
We are given a table showing different price points, volumes sold, total revenues, total costs, total profits, and unit costs. We want to understand how these values relate and how to analyze profit maximization.
2. **Understanding the formulas:**
- Total Revenue (TR) = Price \( \times \) Volume
- Total Cost (TC) = Fixed Costs + Variable Costs \( \times \) Volume
- Total Profit = Total Revenue - Total Cost
- Unit Cost = Total Cost / Volume
3. **Given data:**
- Fixed Costs = 300
- Variable Cost per unit = 5
4. **Check calculations for one row (Price = 10, Volume = 100):**
- Total Revenue = $10 \times 100 = 1000$
- Total Cost = $300 + 5 \times 100 = 300 + 500 = 800$
- Total Profit = $1000 - 800 = 200$
- Unit Cost = $800 / 100 = 8$
5. **Verify other rows similarly:**
- For Price = 12, Volume = 90:
- TR = $12 \times 90 = 1080$
- TC = $300 + 5 \times 90 = 300 + 450 = 750$
- Profit = $1080 - 750 = 330$ (Note: Table shows 230, so likely a typo or different cost assumptions)
6. **Interpretation:**
- Profit maximization occurs at the price and volume combination that yields the highest total profit.
- From the table, the highest profit is at Price = 14 with Profit = 375.
7. **Summary:**
- Use the formulas to calculate revenues, costs, and profits.
- Compare profits across price points to find the maximum.
Final answer: The price point of Php14 with volume 75 maximizes profit at Php375.
Profit Maximization 253E36
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