College Algebra 7th Edition

Published by Brooks Cole
ISBN 10: 1305115546
ISBN 13: 978-1-30511-554-5

Chapter 3, Polynomial and Rational Functions - Chapter 3 Review - Exercises - Page 356: 8

Answer

$1500$ units must be sold to gain a maximum profit of $\$7500$.

Work Step by Step

Let's compare $f(x)=-0.004x^2 + 12x-1500$ to $f(x)=ax^2+bx+c$. We can see that $a=-0.004, b=12, c=-1500$. $a\lt0$, hence the graph opens down, and so its vertex is a maximum. The maximum value is at $x=-\frac{b}{2a}=-\frac{12}{2\cdot(-0.004)}=1500.$ Hence, the maximum value is $f(1500)=-0.004(1500)^2 + 12(1500)-1500=7500.$ Thus, $1500$ units must be sold to gain a maximum profit of $\$7500$.
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