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The pounds of bananas sold each week at all Metro Seattle Albertsons stores as a function of price, p , in dollars/pound(lb.) is given by
The pounds of bananas sold each week at all Metro Seattle Albertsons stores as a function of price, p , in dollars/pound(lb.) is given by q(p)=100e7.5-1.5p
- Express the Revenue function in terms of p and then find both the first and second derivatives of the revenue function. Type each of these in the text box, using appropriate standard mathematical formatting notation (like that shown above) in Excel.
- Use Excel over an interval of [0, 6] in increments of .25 to create values for all 3 of the functions. It must create these values by typing in and using the correct formulas.
- Use Excel to determine exactly where there are any Maximum and/or Minimum values for Revenue. In the text box, explain fully and completely how you determine where to look, and how you know from the First Derivative Test that it have a maximum or a minimum value.
- Write in a complete sentence for any critical values, explaining what the revenue is at each point, and whether this is a maximum or a minimum.
- Use Excel to find where the exact Point of Inflection for the Revenue function occurs.
- In the text box near this work, explain what you are looking for and how you know that you have a point of inflection. Make sure to explain whether the function changes from concave up to down or vice versa and how you know that. Then explain clearly in context what this particular value represents.
- Write in a complete sentence explaining what the point of inflection tells you about the revenue function
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