If a revenue function is given by $R(x) = 2027x-1013 x^2 - 675 x^3$, then the marginal revenue function (MR) is:
Answer & explanation
Correct answer: option 3
The correct answer is Option (3) → $MR= 2027- 2026 x - 2025 x^2$
Revenue function: R(x) = 2027x − 1013x² − 675x³
Marginal Revenue (MR) = derivative of R(x) with respect to x
$MR = \frac{dR}{dx} = \frac{d}{dx}[2027x - 1013x^2 - 675x^3]$
$MR = 2027 - 2 × 1013 x - 3 × 675 x^2$
$MR = 2027 - 2026x - 2025x^2$