How much interest will $1,200 earn over 10 years with 5% interest compounded annually
1 answer:
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Answer:
The profit decreases by $ 375 for every $ 1 increase in the selling price.
Step-by-step explanation:
From the definition of the secant line we get that the average rate of change of , where
is the selling price of the product, measured in dollars per unit, is:
(1)
Now we evaluate the function at each bound:
x = 50
x = 55
Then, the average rate of change is:
Hence, the profit decreases by $ 375 for every $ 1 increase in the selling price.