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Anastaziya [24]
3 years ago
8

Kristin owns a bakery called Kristin’s cakes and n’ such and is considering lowering the price of her cakes. Kristen polls her c

ustomers and determines that she can sell 100 cakes each week when she changes $25 each. She also discovers that every $1 decrease in price of the cake, she will sell 5 more cakes. The portion of the graph below represents kristen’s projected weekly revenue for each decrease in price.
Which of the following are true? Select all that apply.

Mathematics
2 answers:
den301095 [7]3 years ago
8 0
1,3,5
4 looks like true but decreasing but 2 dollars also gives max revenue, so I not sure about it
AleksAgata [21]3 years ago
3 0

Answer:

  • If Kristin does not decrease the price of her cakes,her projected weekly revenue from cake sales will be $ 2500.

Since if she is not decreasing her price that means the point will be on the Revenue axis.

and the point is 2500.

Hence, the statement is True.

  • If Kristin decreases the price of her cakes, her projected weekly revenue will also decrease.

This statement is False as while decreasing the price from $ 2 to $ 3 the revenue remains same.

  • If Kristin decreases the price of her cake by $ 1, her projected weekly revenue will be $ 2520.

This statement is True.

Since when there is a decrease in $ 1 this means that 5 cakes increases and price per cake is $ 24.

i.e. 105 cakes are being sold at a rate of $ 24 each.

Hence, the total revenue is:

24×105=$ 2520.

  • Kristin should decrease the price of her cake by $ 3 ,in order to obtain the maximum weekly revenue.

This statement is False.

Since, the maximum revenue is obtained when there is no decrease.

  • Kristin will receive the same revenue if she sells the cake for $ 24 or $ 21.

This statement is True.

Since when she sells for $ 24 each she has to sell 105 cakes.

so, revenue obtained is:

24×105=$ 2520.

When she sells for $ 21, she has to sell 120 cakes and the revenue obtained is:

20×120=$ 2520.

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