Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

. Currently, an artist can sell 280 paintings every year at the price of $90.00 per painting. Each time he raises the price per

image text in transcribed

. Currently, an artist can sell 280 paintings every year at the price of $90.00 per painting. Each time he raises the price per painting by $10.00, he sells 5 fewer paintings every year. Assume the artist will raise the price per painting a times. The current price per painting is $90.00. After raising the price x times, each time by $10.00, the new price per painting will become 90+10x dollars. Currently he sells 280 paintings per year. It's given that he will sell 5 fewer paintings each time he raises the price. After raising the price per painting x times, he will sell 280-5x paintings every year. The artist's income can be calculated by multiplying the number of paintings sold with price per painting. If he raises the price per painting a times, his new yearly income can be modeled by the function: f(x)=(90+10x)(280 - 5x) where f(x) stands for his yearly income in dollars. Answer the following: (a) How many paintings the artist must sell in order to obtain the maximum profit? What is the maximum profit? (b) To earn $37, 500.00 per year, the artist could sell his paintings at two different prices. Find those prices.

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_2

Step: 3

blur-text-image_3

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

Forensic Accounting

Authors: Robert Rufus, Laura Miller, William Hahn

1st Edition

133427528, 133050475, 9780133427523, 978-0133050479

More Books

Students also viewed these Accounting questions