document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=852341>Question 852341</A>: <I><SPAN STYLE=\"word-break: break-all;\"> I am really bad at these types of problems and my teacher is terrible at explaining. Can someone please help me with this one.\r<BR>\n" );
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document.write( "Suppose the revenue and cost function for a company is given by:\r<BR>\n" );
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document.write( "      R(q)=-.01q^2+30q+7000<BR>\n" );
document.write( "      C(q)=5000+25q<BR>\n" );
document.write( "       Respectively.\r<BR>\n" );
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document.write( "a.)Find the profit function.<BR>\n" );
document.write( "b.)How many units do we have to produce and sell to reach max[R].<BR>\n" );
document.write( "c.)What is the max[R]?<BR>\n" );
document.write( "d.)What is the fixed cost?<BR>\n" );
document.write( "e.)What is the variable cost?<BR>\n" );
document.write( "f.)Is the cost function a linear function or a quadratic function?<BR>\n" );
document.write( "g.)What is/are the break-even point(s)?\r<BR>\n" );
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document.write( "I know it's a lot but I would really appreciate the help I'm honestly just not getting this. Please and thank you!<BR>\n" );
document.write( "   <BR>\n" );
document.write( " </SPAN>\n" );
document.write( "</I><HR><TABLE width=100%><TR><TD><B><A HREF=http://www.algebra.com/>Algebra.Com's</A> Answer #513311 by </B><A HREF=/tutors/aboutme.mpl?userid=josgarithmetic><B>josgarithmetic(39617)</B></A><img src=\"/images/stars/stars-13.gif\" alt=\"\" >&nbsp;<A HREF=/tutors/aboutme.mpl?userid=josgarithmetic><IMG SRC=http://www.algebra.com/images/aboutme-small.gif BORDER=0 alt=\"About Me\" VALIGN=MIDDLE></A>&nbsp;<IMG SRC=http://www.algebra.com/images/nopicture.jpg><BR>You can <A HREF=\"/cgi-bin/embed-solution.mpl?show=1&solution=513311\">put this solution on YOUR website!</A><BR><SPAN STYLE=\"word-break: break-all;\"> Revenue is the money that comes in.<BR>\n" );
document.write( "Cost is the money that goes out.<BR>\n" );
document.write( "Profit is the difference <IMG STYLE=\"max-width:80%;\" SRC=/cgi-bin/plot-formula.mpl?expression=Revenue-Cost ALIGN=MIDDLE  ALT=\"Revenue-Cost\"   DISABLED_style= \"max-width:90%; height:auto;\" >.\r<BR>\n" );
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document.write( "(c)<BR>\n" );
document.write( "Find the maximum point, or the vertex.  The function value there is the maximum revenue.  You could use the general solution for a quadratic equation to help find the maximum point, which will be in the middle of the horizontal axis intercepts.  You could also Complete the Square to put the revenue function into standard for and read the vertex directly from the standard form.  Already plenty of resources exist for understanding this, including <a  rel=nofollow HREF=\"http://www.algebra.com/tutors/Completing-the-Square-Using-Pictures.lesson?content_action=show_dev\">what is completing the square?</a>   and  <a  rel=nofollow HREF=\"http://www.algebra.com/tutors/Completing-the-Square-to-Solve-General-Quadratic-Equation.lesson?content_action=show_dev\">solve quadratic by completing the square</a>\r<BR>\n" );
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document.write( "(d)<BR>\n" );
document.write( "Look at the constant term in the cost function.  THAT is the fixed cost.  This is the amount not dependant on q.\r<BR>\n" );
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document.write( "(e)<BR>\n" );
document.write( "If you understand d, then you understand this one.\r<BR>\n" );
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document.write( "(f)<BR>\n" );
document.write( "Too obvious.  What's the degree of the function?\r<BR>\n" );
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document.write( "(g)<BR>\n" );
document.write( "Break-even when when cost value equals revenue value; for profit of zero.\r<BR>\n" );
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document.write( "People look at symbols, read descriptions, and then try to make things more complicated than they really are.  We do not know why any revenue might fit a quadratic model or why a cost might fit a linear model, or why either might fit whatever model were found; but when we have the model, we can just use it.  </SPAN>\n" );
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