tvester
Answered

Welcome to Westonci.ca, where curiosity meets expertise. Ask any question and receive fast, accurate answers from our knowledgeable community. Connect with a community of professionals ready to help you find accurate solutions to your questions quickly and efficiently. Get precise and detailed answers to your questions from a knowledgeable community of experts on our Q&A platform.

2. An apartment complex has a demand given by p = -5x + 860,
where x is the number of apartments rented and p is the price
for each apartment, in dollars. The cost of maintaining the
complex is $120 per rented apartment. There are fixed costs of
$6000.
a) Find the revenue equation.
b) Find the cost equation.
c) Find the profit equation.
d) Find the number of apartments that must be rented to break
even.

Sagot :

fichoh

The required equations computed from the data given are :

  • R(x) = 860x - 5x²
  • C(x) = 120x + 6000
  • P(x) = 740x - 5x² - 6000
  • Break even point = 139 gallons and 9 apartment

Given the Parameters :

  • Price per apartment, p = - 5x + 860
  • x = number of apartments rented
  • Fixed cost = 6000
  • Maintainance cost per apartment = $120

The Revenue Function, R(x) :

  • Price per apartment × Number of apartments rented

  • (-5x + 860)x ;
  • R(x) = 860x - 5x²

The Cost equation, C(x) :

  • Fixed cost + Maintenance cost per apartment
  • C(x) = 6000 + 120x

The Profit function, P(x) ::

P(x) = R(x) - C(x)

P(x) = 860x - 5x² - (6000 + 120x)

P(x) = 860x - 5x² - 6000 - 120x

P(x) = 740x - 5x² - 6000

Number of apartments required to break even :

At break even ;

P(x) = 0

740x - 5x² - 6000 = 0

Divide through by 5

-x² + 148 - 1200 = 0

Using a quadratic calculator :

The roots are (139.39, 8.60)

Therefore. The company will break even at 139 apartments rented or 9 apartments.

Learn more :https://brainly.com/question/8882508

Thank you for trusting us with your questions. We're here to help you find accurate answers quickly and efficiently. We appreciate your time. Please come back anytime for the latest information and answers to your questions. Westonci.ca is here to provide the answers you seek. Return often for more expert solutions.