Use the Following Information to Answer Questions $S M C = 200 - 15 Q + 0.8 Q ^ { 2 }$

question 22

Multiple Choice

Use the following information to answer Questions .
Radon Research Corporation (RRC) is one of 24 firms in Albuquerque testing homes for dangerous levels of radon gas. There is a standard test that all testing companies use. The manager of RRC wants to know the number of homes to test in 2015 in order to maximize the firm's profit. The manager forecasted a price of $160 for radon tests in 2015.
The firm's marginal cost was estimated as $S M C = 200 - 15 Q + 0.8 Q ^ { 2 }$ where Q is the number of tests performed each week. RRC's fixed cost will be $250 per week.
-The weekly profit (loss) at RRC in 2015 will be

• A) $121
• B) $320
• C) $86
• D) -$61
• E)-$121

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Definitions:

Catering Department

A division within a company or a facility that is responsible for providing food services for events, meetings, and functions.

Profit Center

A segment or division of a company that is directly responsible for generating its own revenue and profit.

Cost Center

A department or function within a business to which costs are charged for accounting purposes, but does not directly generate revenue.

Investment Center

A business unit or segment within an organization that is responsible for its own revenues, expenses, and investments in assets.