IDNLearn.com connects you with experts who provide accurate and reliable answers. Ask your questions and get detailed, reliable answers from our community of experienced experts.
Sagot :
The demand equation illustrates the price of an item and how it relates to the demand of the item.
- The slope of the demand function is -1/2
- The equation of the demand function is: [tex]R(x) = (300 - 10x) \times (20 + 5x)[/tex]
- The price that maximizes her revenue is: Ghc 85
From the question, we have:
[tex]Plates = 300[/tex]
[tex]Price = 20[/tex]
The number of plates (x) decreases by 10, while the price (y) increases by 5. The table of value is:
[tex]\begin{array}{cccccc}x & {300} & {290} & {280} & {270} & {260} \ \\ y & {20} & {25} & {30} & {35} & {40} \ \end{array}[/tex]
The slope (m) is calculated using:
[tex]m = \frac{y_2 - y_1}{x_2 - x_1}[/tex]
So, we have:
[tex]m = \frac{25-20}{290-300}[/tex]
[tex]m = \frac{5}{-10}[/tex]
[tex]m = -\frac{1}{2}[/tex]
The equation of the demand is as follows:
The initial number of plates (300) decreases by 10 is represented as: (300 - 10x).
Similarly, the initial price (20) increases by 5 is represented as: (20 + 5x).
So, the demand equation is:
[tex]R(x) = (300 - 10x) \times (20 + 5x)[/tex]
Open the brackets to calculate the maximum revenue
[tex]R(x) =6000 + 1500x - 200x - 50x^2[/tex]
[tex]R(x) =6000 + 1300x - 50x^2[/tex]
Equate to 0
[tex]6000 + 1300x - 50x^2 =0[/tex]
Differentiate with respect to x
[tex]1300 - 100x =0[/tex]
Collect like terms
[tex]100x =1300[/tex]
Divide by 100
[tex]x =13[/tex]
So, the price at maximum revenue is:
[tex]Price= 20 + 5x[/tex]
[tex]Price= 20 + 5 * 13[/tex]
[tex]Price= 85[/tex]
In conclusion:
- The slope of the demand function is -1/2
- The equation of the demand function is: [tex]R(x) = (300 - 10x) \times (20 + 5x)[/tex]
- The price that maximizes her revenue is: Ghc 85
Read more about demand equations at:
https://brainly.com/question/21586143
We value your participation in this forum. Keep exploring, asking questions, and sharing your insights with the community. Together, we can find the best solutions. IDNLearn.com provides the answers you need. Thank you for visiting, and see you next time for more valuable insights.