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Group of customer and what prices will be charged

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The ATS Railroad runs a freight train daily between Chicago and St. Louis. Two major groups of customers use this service: beef distributorss and wheat growers. The demand for freight cars is given by the following equations: Qb=50-0.125Pb for the beef distributors and Qw=60-0.2w for wheat growers.

P is the price charged by ATS for hauling one freight car of materials between chicagos and st louis and Q is the number of freight card demanded by each user. its total cost function is STC=5000+80Q where Q is the number of freight cars hauled on a particular trip.

Determine the quantity it should sell each group of customer and what prices will be charged

Reference no: EM132193863

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