Business, 02.04.2021 19:10 daedae40

POM Wonderful has recently developed a juice drink that it claims has several powerful benefits of pomegranate fruit owing to a high level of antioxidants. A successful marketing campaign has resulted in the following market demand for POM's pomegranate juice: QD = 400-50P where the price P is measured in Ss/bottle and quantity demanded Q is measured in thousands of bottles. POM wonderful had a fixed cost of $100,000, and faces a constant marginal cost. POM Wonderful's optimal price is S5.50/bottle.

Required:
Calculate POM Wonderful's profit.

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