Spider Industries is a U.S.-based company that test-marketed an electronic cobweb destroyer in Japan. The company's revenue, R, is a function of the number of destroyers sold, x, using the following formula R = 160x -0.2x^2.
What type of function did Spider Industries use to describe its revenue as a function of sales?
You are planning to take Calculus and you do not recognize R = 160x - 1.2x^2 as a quadratic function?
Mmmmh!
hah well actually, that was my first thought, but not one of the choices given.
no need for smart comments thanks ;)
Spider Industries used a quadratic function to describe its revenue as a function of sales. The function is given by R = 160x - 0.2x^2, where R represents the revenue and x represents the number of destroyers sold.
In this function, the first term, 160x, represents the revenue generated from selling each destroyer at a constant rate of $160. The second term, -0.2x^2, represents a decreasing revenue as the number of destroyers sold increases. This term incorporates a negative coefficient, indicating that the rate of increase in revenue slows down as more destroyers are sold.
Overall, the quadratic function indicates that the revenue initially increases with the number of destroyers sold but eventually starts to decline due to diminishing returns.