AB has used market research to determine that if a price of $250 is charged for product G, demand will be?12,000 units. It has also been established that demand will rise or fall by 5 units for every $1 fall/rise in the?selling price. The marginal cost of product G is $80.?
Required?
If marginal revenue = a – 2bQ when the selling price (P) = a – bQ, calculate the profit-maximising selling?price for product G.?