Question

A company charting its profits notices that the relationship between the number of units sold, x, and the profit, p, is linear. If 190 units sold results in $3520 profit and 240 units sold results in $6420 profit, write the profit function for this company.

Answer 1

Answer: Profit equation is $y=58x - 7500$

Explanation:

$Number of units sold= x$

$Y = Profit$

$Slope = \frac{Change in y}{change in X}$

$\frac{6520 - 3520}{240 - 190}$

$= \frac{2900}{50}$

$= 58$

$Y=mX+b$

$Y= 58X+b$

Substituting the value of profit and units sold into this equation we can find out the value for b,

$When y=6420 , x=240$

$6420= 58(240) + b$

$-7500=b$

So, the profit equation is$y=58x - 7500$