Question
The owner of an apartment building can rent all 50 apartments if she charges $ 500 per month, but she rents one fewer apartment for
The owner of an apartment building can rent all50apartments if she charges $500per month, but she rents one fewer apartment for each $20increase in monthly rent.
(a) Construct a table that gives the revenue generated if she charges $500, $520, and $540.
No. of Apts Rent Total Revenue
50 $500 $
49 $520 $
48 $540 $
(b) Does her revenue from the rental of the apartments increase or decrease as she increases the rent from $500to $540?
revenue increases
revenue decreases
(c) Write an equation that gives the revenueRfrom rental of the apartments if she makesxincreases of $20in the rent.
R(x) =
(d) Find the rent she should charge to maximize her revenue.
$per month
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started