Question

A lash adjuster keeps pressure constant on engine​ valves, thereby increasing fuel efficiency in automobile engines. the relationship between price ​(p​) and monthly demand ​(d​) for lash adjusters made by the wicks company is given by this​ equation: dequals=​(2 comma 4002,400minus−p​)/0.100.10. what is the demand ​(modifyingabove upper d with caretd​) when total revenue is​ maximized? what important data are needed if maximum profit is​ desired?

Answer 1

Answer and Explanation:

Relationship between price and demand:

D = (2400 - p)/(0.100)

p = 2400 - 0.100*D

then:

Total revenue = p*D

                        = 2400*D - 0.100*D^2

for a maximum revenue:

dR/dD = 0

2400 - 0.100*2D = 0

D = 12000

this is considered a demand

for maximum profit, the initial cost of automobile engines should be less required.