A company’s profit function (in dollars) depends on the number of units it produces

MATHEMATICS · Subjective · A Level · Mathematics · Differentiation · Differentiation

Problem

A company’s profit function P(q)P(q) (in dollars) depends on the number of units qq it produces. At a production level of 200 units, the firm knows that P′(200)=−4P'(200)=-4. Describe what this value indicates about the behavior of the company’s profit for production levels just above 200 units.

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