Revenue, cost, and profit functions. A company manufactures 10- and 3-speed bicycles. The weekly demand and cost equations are p = 230 − 9 x + y q = 130 + x − 4 y C ( x , y ) = 200 + 80 x + 30 y where $ p is the price of a 10-speed bicycle, $ q is the price of a 3-speed bicycle, x is the weekly demand for 10-speed bicycles, y is the weekly demand for 3-speed bicycles, and C ( x , y ) is the cost function. Find the weekly revenue function R ( x , y ) and the weekly profit function P ( x , y ). Evaluate R (10, 15) and P (10, 15).
Revenue, cost, and profit functions. A company manufactures 10- and 3-speed bicycles. The weekly demand and cost equations are p = 230 − 9 x + y q = 130 + x − 4 y C ( x , y ) = 200 + 80 x + 30 y where $ p is the price of a 10-speed bicycle, $ q is the price of a 3-speed bicycle, x is the weekly demand for 10-speed bicycles, y is the weekly demand for 3-speed bicycles, and C ( x , y ) is the cost function. Find the weekly revenue function R ( x , y ) and the weekly profit function P ( x , y ). Evaluate R (10, 15) and P (10, 15).
Solution Summary: The author calculates the weekly revenue function R(x,y) and weekly profit function, using the equations that represent the price of 10-speed and 3-speed bicycles.
Revenue, cost, and profit functions. A company manufactures 10- and 3-speed bicycles. The weekly demand and cost equations are
p
=
230
−
9
x
+
y
q
=
130
+
x
−
4
y
C
(
x
,
y
)
=
200
+
80
x
+
30
y
where $p is the price of a 10-speed bicycle, $q is the price of a 3-speed bicycle, x is the weekly demand for 10-speed bicycles, y is the weekly demand for 3-speed bicycles, and C(x, y) is the cost function. Find the weekly revenue function R(x, y) and the weekly profit function P(x, y). Evaluate R(10, 15) and P(10, 15).
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