Question 90859: In this question, to find the answer I know I need to find a vertex, but can't seem to get a quadratic type equation to figure the points:
A wholesaler of appliances finds that she can sell (1200-p) televisions when the price is p dollars. What price will maximize revenue? What is the maximum revenue?
Answer by venugopalramana(3286)   (Show Source):
You can put this solution on YOUR website! In this question, to find the answer I know I need to find a vertex, but can't seem to get a quadratic type equation to figure the points:
A wholesaler of appliances finds that she can sell (1200-p) televisions when the price is p dollars. What price will maximize revenue? What is the maximum revenue?
REVENUE = R = ITEMS SOLD * PRICE/ITEM=P(1200-P)=1200P-P^2
R=-[P^2-1200P]=-[P^2-2P*600+600^2-600^2]
R= 600^2 - [P-600]^2
AT P=600, WE GET MAXIMUM REVENUE
R MAX = 600^2=360000 $
HENCE VERTEX IS AT (600,360000)
PRICE OF 600 $ WILL MAXIMISE THE REVENUE.
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