Posted by Mike on .
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