Profit
P
Q
Demand
Marginal Cost
Input: Price =
MC =
20
Quantity =
TR = P*Q =
Profit = (P-MC)*Q =
100
100
10000
8000
Profit
Adjust price by moving the slider.
Note that the profit is equal to the
to the area of the yellow square.
The maximum profit occurs when
the area of the square is the largest.