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March 29, 2017

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a newspaper company currently charges $11 a week to its subscribers, but is considering raising their price. the company found that the weekly revenue y can be modeled by the function
y= -750(x-40)(x+20) where x is the number $.50 increases in the weekly price.
a. explain how to find the price that will maximize weekly revenue. what is the price?
b. what is the maximum weekly revenue?

  • math ( algebra 2 ) - ,

    since y is a parabola, with roots at -20 and 40, the max is achieved halfway between the roots, at x=10.

    price = 11.00 + 10*0.50 = 16.00
    revenue is y(10) = 675000

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