The manager of a large apartment complex knows from experience that 80 units will be occupied if the rent is 324 dollars per month. A market survey suggests that, on the av- erage, one additional unit will remain vacant for each 6 dollar increase in rent. Similarly, one additional unit will be occupied for each 6 dollar decrease in rent. What rent should the manager charge to maximize revenue?
1
Expert's answer
2012-11-29T07:59:48-0500
The revenue is :R= number of units*rent per month. Let x is the number of additional units, then R(x)=(80-x)(324+6x)=25920+156x-6x^2. The revenue maximize when the derivation of R(x)=0. (dR/dx)=156-12x=0 x=13 The rent is 324+13*6=402 dollars
Numbers and figures are an essential part of our world, necessary for almost everything we do every day. As important…
APPROVED BY CLIENTS
"assignmentexpert.com" is professional group of people in Math subjects! They did assignments in very high level of mathematical modelling in the best quality. Thanks a lot
Comments
Leave a comment