Sunday

December 21, 2014

December 21, 2014

Posted by **liz** on Saturday, October 16, 2010 at 9:33pm.

(a) Construct a linear demand function for your web site and hence obtain the monthly revenue R as a function of the log-on fee x.

q(x) =

1

Your answer is correct.

R(x) =

2

Your answer is correct.

(b) Your Internet provider charges you a monthly fee of $30 to maintain your site. Express your monthly profit P as a function of the log-on fee x.

P(x) =

3

Your answer is correct.

Determine the log-on fee you should charge to obtain the largest possible monthly profit.

$ 4Your answer is incorrect.

What is the largest possible monthly profit?

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