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The owner of an apartment building can rent all 60 apartments if she charges $1,600 per month, but she rents one fewer apartment for each $50 increase in monthly rent. (a) Construct a table that gives the revenue generated if she charges $1,600, $1,650, and $1,700. Rent | Total Revenue $1,600 $ 96000 $1,650 $97350 $1,700 $ 986000 No. of Apts 60 59 58 (b) Does her revenue from apartment rentals increase or decrease as she increases the rent from $1,600 to $1,700? o revenue increases O revenue decreases (c) Write an equation that gives the revenue R, from apartment rentals if she makes x increases of $50 in the rent. R(x) = -50x² +1400x +96000 (d) Find the rent she should charge to maximize her revenue. $ per month

The owner of an apartment building can rent all 60 apartments if she charges $1,600 per month, but she rents one fewer apartment for each $50 increase in monthly rent. (a) Construct a table that gives the revenue generated if she charges $1,600, $1,650, and $1,700. Rent | Total Revenue $1,600 $ 96000 $1,650 $97350 $1,700 $ 986000 No. of Apts 60 59 58 (b) Does her revenue from apartment rentals increase or decrease as she increases the rent from $1,600 to $1,700? o revenue increases O revenue decreases (c) Write an equation that gives the revenue R, from apartment rentals if she makes x increases of $50 in the rent. R(x) = -50x² +1400x +96000 (d) Find the rent she should charge to maximize her revenue. $ per month

ENGR.ECONOMIC ANALYSIS
ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN:9780190931919
Author:NEWNAN
Publisher:NEWNAN
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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please complete part D for both

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The owner of an apartment building can rent all 60 apartments if she charges $1,600 per month, but she rents one fewer apartment for each $50 increase in monthly rent. (a) Construct a table that gives the revenue generated if she charges $1,600, $1,650, and $1,700. No. of Apts 60 59 58 Rent Total Revenue $ 96000 $ 97350 $986000 $1,600 $1,650 $1,700 (b) Does her revenue from apartment rentals increase or decrease as she increases the rent from $1,600 to $1,700? o revenue increases O revenue decreases (c) Write an equation that gives the revenue R, from apartment rentals if she makes x increases of $50 in the rent. R(x) = -50x² - +1400x + 96000 (d) Find the rent she should charge to maximize her revenue. $ per month
Transcribed Image Text:The owner of an apartment building can rent all 60 apartments if she charges $1,600 per month, but she rents one fewer apartment for each $50 increase in monthly rent. (a) Construct a table that gives the revenue generated if she charges $1,600, $1,650, and $1,700. No. of Apts 60 59 58 Rent Total Revenue $ 96000 $ 97350 $986000 $1,600 $1,650 $1,700 (b) Does her revenue from apartment rentals increase or decrease as she increases the rent from $1,600 to $1,700? o revenue increases O revenue decreases (c) Write an equation that gives the revenue R, from apartment rentals if she makes x increases of $50 in the rent. R(x) = -50x² - +1400x + 96000 (d) Find the rent she should charge to maximize her revenue. $ per month
Suppose a company has fixed costs of $36,000 and variable cost per unit of x + 222 dollars, where x is the total number of units produced. Suppose further that the selling price of its product is 1,452 - fx (a) Form the cost function and revenue function (in dollars). 2 C(x) = 13x² + 222x + 36000 R(x) = 1452x - 23x² Find the break-even points. (Enter your answers as a comma-separated list.) x = 1200,30 (b) Find the vertex of the revenue function. (x, y) = 1089,790614 Identify the maximum revenue. $ 1089 (c) Form the profit function from the cost and revenue functions (in dollars). x² +1230x - 36000 P(x) = Find the vertex of the profit function. (x, y) = 615,342225 Identify the maximum profit. $ 342225 (d) What price will maximize the profit? $ 3x -x dollars per unit.
Transcribed Image Text:Suppose a company has fixed costs of $36,000 and variable cost per unit of x + 222 dollars, where x is the total number of units produced. Suppose further that the selling price of its product is 1,452 - fx (a) Form the cost function and revenue function (in dollars). 2 C(x) = 13x² + 222x + 36000 R(x) = 1452x - 23x² Find the break-even points. (Enter your answers as a comma-separated list.) x = 1200,30 (b) Find the vertex of the revenue function. (x, y) = 1089,790614 Identify the maximum revenue. $ 1089 (c) Form the profit function from the cost and revenue functions (in dollars). x² +1230x - 36000 P(x) = Find the vertex of the profit function. (x, y) = 615,342225 Identify the maximum profit. $ 342225 (d) What price will maximize the profit? $ 3x -x dollars per unit.
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