Currently, the demand equation for necklaces is Q = 30 – 4P. The current price is $10 per necklace. Is this the best price to charge in order to maximize revenues?

The correct answer is NO. The best price to be charged is $3.75

Step-by-step explanation:

Demand equation is given by Q = 30 - 4P, where Q is the quantity of necklaces demanded and P is the price of the necklace.

⇒ 4P = 30 - Q

⇒ P =

The current price of the necklace $10.

Revenue function is given by R = P × Q = × ( 30Q - )

To maximize the revenue function we differentiate the function with respect to Q and equate it to zero.

=   × ( 30 - 2Q) = 0

⇒ Q = 15.

The second order derivative is negative showing that the value of Q is maximum.

Therefore P at Q = 15 is $3.75.

Thus to maximize revenue the price should be $3.75.

00

step-by-step explanation:

b: |12 – x| ≤ 0.25

step-by-step explanation:      

let x be the possible lengths in inches, of the ribbons jaime cut.

we have been given that jaime is cutting strips of ribbon for a project. he tries to cut each piece to be 12 inches long, but sometimes he cuts it too long or too short by as much as 0.25 inch.  

we can represent this information in an inequality as:

by the definition of absolute value function we will get,

upon combining our inequalities we will get,

therefore, the inequality   describes all the possible lengths (x), in inches, of the ribbons jaime cut.

step-by-step explanation: