Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

A manufacturer has been selling 1,000 flat-screen TVs a week at $500 each. A market survey indicates that for each $10 rebate offered to

image text in transcribed

A manufacturer has been selling 1,000 flat-screen TVs a week at $500 each. A market survey indicates that for each $10 rebate offered to the buyer, the number of TVs sold will increase by 100 per week. (a) Find the demand function (price p as a function of units sold x). p(x) = (b) How large a rebate (in dollars) should the company offer the buyer in order to maximize its revenue? $ (c) If its weekly cost function is C(x) = 64,000 + 120x, how should the manufacturer set the size of the rebate (in dollars) in order to maximize its profit? $

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Advanced Engineering Mathematics

Authors: Michael Greenberg

2nd Edition

133214311, 978-0133214314

More Books

Students also viewed these Mathematics questions