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4 years ago

Charlie runs a book rental business. He currently charges $3 per book and rents out an average of 38 books a day.

Mathematics

1 answer:

liberstina [14]4 years ago

7 0

Answer:

b(x) = (3+0.5x) (38-4x)

Step-by-step explanation:

Let the generated revenue per day be b(x)

Let x be the number for every 50cents($0.5) price increase

Formula to be used to generate the revenue generated is expressed using the formula:

b(x) = Price × Quantity

Next is to derive the price and quantity function in terms of x.

For the price:

If he currently charges $3 per book

Let derive the price function for the model and x number of price increase for every 50 cents, then

Price = ($0.5 of x)+$3

Price = $3+$0.5x

Price = $(3+0.5x)

For the quantity:

Number of books rent out per day = 38

If for every 50cents increase in rental price x, the average business can expect to lose 4 rentals a day, then the total lost per quantity = 4x

Quantity per time = Number of books rent out daily - loss on each book

Quantity = $(38-4x)

Next is to substitute the price and quantity function into the revenue formula above:

Revenue = Price × Quantity

Revenue = (3+0.5x)(38-4x)

Hence the equation that models this scenario, where b(x) is the revenue generated and x is the number of 50 price increases is b(x) = (3+0.5x)(38-4x)

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