Students will work in pairs and examine measures of revenue and cost, and discuss how these measures give information about profit. The entire class should then discuss and share their conclusions.
Before the Activity
See the attached Activity PDF file for detailed instructions for this activity.
Print the appropriate pages from the Activity for your class.
Install the CellSheet(tm) App on the students' graphing calculators following the attached instructions.
Make sure each student has a TI-83 Plus or TI-84 Plus graphing calculator loaded with the CellSheet(tm) Application. The students will work in teams of two in this activity, so make enough copies of the student work sheets so that each student receives either a copy of the revenue work sheet or cost work sheet.
During the Activity
Distribute the appropriate pages from the Activity to your class
Follow the procedures outlined in the Activity
Explore the revenues and costs in the production of goods.
Analyze graphs and data related to revenue, cost, and profit.
After the Activity
Lead a class discussion that incorporates the questions from the work sheets. Summarize the key ideas of total revenue, marginal revenue, average cost, and marginal cost.