1.

The relationship d = 500025p describes w

hat happens to demand (d) as price (p) varies. Here, price can vary between $10 and $50.

a.

How many units can be sold at the $10 price? How many can be sold at the $50 price?

b.

Model the expression for total revenue.

c.

Consider prices of $20, $30, and $40. Which of these three price alternative will maximize

total revenue? What are the values for demand and revenue at this price?