Market research at Apple Corporation has shown that the demand function for its new iPhone is as follows: QA = 3 - 0.02PA + 0.0002I + 0.01PS where QA is the quantity demanded (in thousands) of iPhones, PA is the price of an iPhone, I is consumer income, and PS is the price of a Samsung phone, a close competitor. Apple estimates that I equals $40,000 and PS equals $400. The marginal cost of producing iPhones is estimated to be constant at a value of $250.

To maximize sales revenue, what is Q, P, and revenue?

To maximize profit, will it if P=600? What is profit maximizing price?

Graphs of - Firm demand, Costs, MR and TR?