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Posted by on Tuesday, April 20, 2010 at 5:19pm.

The manager of a large apartment complex knows from experience that 100 units will be occupied if the rent is 350 dollars per month. A market survey suggests that, on the average, one additional unit will remain vacant for each 7 dollar increase in rent. Similarly, one additional unit will be occupied for each 7 dollar decrease in rent. What rent should the manager charge to maximize revenue?

  • calculus - , Tuesday, April 20, 2010 at 5:23pm

    I'll start you off ....

    let the number of $7 increases be n
    then number rented = 100 - n
    rent charged = 350 + 7n

    Revenue = (100-n)(350+7n)

    expand, take the derivative, set that equal to zero and solve for n.

  • calculus - , Wednesday, April 21, 2010 at 10:19pm


  • calculus - , Sunday, November 9, 2014 at 1:42am


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