document.write( "Question 1140520: A coffee company currently charges $2.40 per bag and sells 4,000 bags per week. The company plans to decrease the price per bag. Past experience indicates that each $0.10 price decrease raises weekly sales by 400 bags.How much should be charged per bag in order to attain the maximum revenue \n" ); document.write( "
Algebra.Com's Answer #761043 by greenestamps(13200)![]() ![]() You can put this solution on YOUR website! \n" ); document.write( "Suppose the company decreases the price by $0.10 x times from the current cost of $2.40; the number of bags sold will increase by 400 x times from the current 4000. \n" ); document.write( "Then the cost per bag will be $2.40 minus $0.10 x times; the number of bags sold will be 4000 plus 400 x times. \n" ); document.write( "The total revenue is then \n" ); document.write( " \n" ); document.write( "Use any of a number of methods to find the maximum revenue. \n" ); document.write( "Inspection shows the expression for total revenue will be a quadratic with a negative leading coefficient, so there will be a maximum value. \n" ); document.write( "Use algebraic methods for finding the maximum value of a quadratic function; \n" ); document.write( "or use calculus; \n" ); document.write( "or graph the revenue function on a graphing calculator.... \n" ); document.write( " |