Microeconomics
Profit-Maximising Output Calculator
Solve the output where a linear marginal-revenue curve equals constant marginal cost.
Inputs and results stay in this browser. Currency symbols are illustrative; use any consistent currency.
Problem → model → reason → result
What problem does this model solve?
Solve the output where a linear marginal-revenue curve equals constant marginal cost.
Why does the model apply?
The simple model selects output where marginal revenue equals marginal cost, provided producing is economically feasible.
What assumptions does it make?
The variables must describe the same market, firm, period or decision context and use consistent units. Any behavioural condition implied by the formula—such as other factors remaining unchanged—must be reasonable for the question being asked.
Formula
For MR = a − bQ and constant MC: Q* = (a − MC) ÷ b
Calculation and working
The calculator substitutes your inputs locally and displays the numerical result. Change one input at a time to test which relationship drives the result.
What does the result mean?
Interpret the result in the economic context named above, including its sign, magnitude, units and time period. A calculated relationship is not by itself evidence that one variable caused another.
When does this model not apply?
Do not use the result when the input definitions, units or formula assumptions do not match the real situation. This is an educational model, not financial, investment, tax or policy advice; verify material decisions against primary data and professional guidance.
Clear answers
Frequently asked questions
What does the Profit-maximising output do?
Solve the output where a linear marginal-revenue curve equals constant marginal cost.
How does the Profit-maximising output work?
The calculator applies this formula: For MR = a − bQ and constant MC: Q* = (a − MC) ÷ b. The simple model selects output where marginal revenue equals marginal cost, provided producing is economically feasible.
What can I learn from the Profit-maximising output?
It helps you explore the relationship described by this tool: Solve the output where a linear marginal-revenue curve equals constant marginal cost. Change one input at a time to observe how it affects the result.
Does MW SysArc receive or store what I enter?
No. The calculation runs locally in your browser. MW SysArc does not receive or store your calculation inputs.
How should I use the result?
Use the result as an estimate or educational aid. Check important financial, business or policy decisions with qualified sources and current data.
Last reviewed 2026-07-14. Calculations tested 2026-07-14.