SOLUTION: Please solve this
A city centre tour guide currently charges $34 for a full day’s tour. The average number of
customers is 48. Market research suggests that for every $1 incr
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A city centre tour guide currently charges $34 for a full day’s tour. The average number of
customers is 48. Market research suggests that for every $1 incr
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Question 1172728: Please solve this
A city centre tour guide currently charges $34 for a full day’s tour. The average number of
customers is 48. Market research suggests that for every $1 increase in tour price, the guide can
expect to lose two customers per tour.
(a) Show that if the price increase is $x, then the expected revenue from each tour is
−2x2− 20x + 1632
(b) The guide needs to ensure that the expected revenue is at least $1440. By solving a quadratic
inequality, find the range of prices that need to be charged.
(c) What price should be charged to maximize expected revenue? Answer by Solver92311(821) (Show Source):
