A) Demand function
price (x) demand (D(x))
4 540
3.50 810
D - 540 810 - 540
----------- = -----------------
x - 4 3.50 - 4
D - 540
----------- = - 540
x - 4
D - 540 = - 540(x - 4)
D = -540x + 2160 + 540
D = 2700 - 540x
D(x) = 2700 - 540x
Revenue function, R(x)
R(x) = price * demand = x * D(x)
R(x) = x* (2700 - 540x) = 2700x - 540x^2
b) Profit, P(x)
profit = revenue - cost
P(x) = R(x) - 30
P(x) = [2700x - 540x^2] - 30
P(x) = 2700x - 540x^2 - 30
Largest possible profit => vertex of the parabola
vertex of 2700x - 540x^2 - 30
When you calculate the vertex you find x = 5 /2
=> P(x) = 3345
Answer: you should charge a log-on fee of $2.5 to have the largest profit, which is $3345.
Answer:1 and 1/16
Step-by-step explanation:
Plotting the data to get the line of best fit, it is:
y<span> = 0.087</span>x<span> + 0.587
substitute x=2030-1980=50,
y = $4.94 is the price in 2030</span>
Answer:
1/50* 1/2 =0 .01
Step-by-step explanation:
First, the probability that the spinner lands on 20 is
1
/50
, as 20 is one of the 50 numbers on the wheel, and each number has an equal probability of being selected.
Second, the probability that the spinner lands on an odd number is
1/2
. This is because of the 50 numbers on the wheel, half are even and half are odd.
