SOLUTION: Suppose that the function of p= -1/4x+20 relates the selling price p of an item to the number of units x that are sold. Assume tha to is in dollars. For which value of x will the c
Algebra.Com
Question 287215: Suppose that the function of p= -1/4x+20 relates the selling price p of an item to the number of units x that are sold. Assume tha to is in dollars. For which value of x will the corresponding revenue be a maximum? What is this maximum revenue and what is the unit price?
Answer by stanbon(75887) (Show Source): You can put this solution on YOUR website!
Suppose that the function of p= -1/4x+20 relates the selling price p of an item to the number of units x that are sold.
Assume that is in dollars.
For which value of x will the corresponding revenue be a maximum?
What is this maximum revenue and what is the unit price?
----------------
If p is price and x is number units, then
revenue = x(price)
R(x) = (-1/4)x^2+20x
-------------------------
This quadratic reaches a maximum when x = -b/2a = -20/(2(-1/4)) = -20/(-1/2)
= 40
---
The revenue when x = 40 is (-1/4)40^2+20x = $400
==================================================
Cheers,
Stan H.
==================================================
RELATED QUESTIONS
How to solve this problem:
The price p of a certain product and the quantity sold x... (answered by ankor@dixie-net.com)
The price p, in dollars, of a certain commodity and the quantity x sold obey the demand... (answered by mananth)
The price p(in dollars) and the quantity x sold of a certain product obey the demand... (answered by mananth)
"A store has been selling a popular game at the price of $40 per unit, and at this price... (answered by gonzo)
Please help me with this question.
A restaurant decides to add homemade desserts to... (answered by josgarithmetic)
Consider the demand function p(x)= -(1/15)x + 30, 0 (answered by tommyt3rd)
At a price of p=$2.50, they will sell x=450 each week
If they lower the price to... (answered by ikleyn)
Please help with this question.
The demand function for a new DVD is p(x)=-2.5x+17.5... (answered by MathLover1)
The supply function of a commodity is a quadratic function that passes though the... (answered by solver91311)