Beruflich Dokumente
Kultur Dokumente
Key Formulas:
1
ExamJ2k: (#12, page 202) The average ticket price for a
concert at the opera house was $50. The average attendance
was 4000. When the ticket price was raised to $52,
attendance declined to an average of 3800 persons per
performance. What should the ticket price be in order to
maximize the revenue for the opera house? (Assume a
linear demand curve.)
2
Hence R(p) == p. M (p) == -100 p2 + 9000 p.
Critical points:
d
- R(p) == -200p + 9000
dp
- 200 p + 9000 == 0
200 p == 9000
p == 45
d2
Concavity: ~ R(p) == -200 < 0
dp
Hence: AtpJ
(:\
1.Js- f
We see that a ticket price of $45 maximizes revenue.
3
Examw: (#16, page 202) A certain toll road averages
36,000 cars per day when charging $1 per car. A survey
concludes that increasing the toll will result in 300 fewer
cars for each cent of increase. What toll should be charged
in order to maximize the revenue?
R(p) = p .M (p)
where
p = price in cents, M (p) = demand, R(p) = revenue
-300
slope = m = = -300
1
4
Hence R(p) = p .M(p) = -300p2 +66,000p.
Critical points:
d
- R(p) = -600 p + 66,000
dp
- 600p + 66,000 = 0
600p = 66,000
p = 110
d2
Concavity: ~R(p) = -600 < 0
dp
Hence:
.4 l? (fO
110 P
We see that a ticket price of $1.10 maximizes revenue.
5
ExamQk: (# 19, page 203) A savings and loan association
estimates that the amount of money on deposit will be
1,000,000 times the percentage rate of interest. For instance,
a 4% interest rate will generate $4,000,000 in deposits.
Suppose the savings and loan association can loan all the
money it takes in at 10% interest. What interest rate on
deposits generates the greatest profit?
Let
Then
R(r)== 106.r
'---v--'
x 0.10
"---v--I
amount money interest earned
borrowed
6 r
C(r)==10 .rX -
~ 100
deposIts ~
interest for
the customers
6
Therefore,
6 6 r
P(r) = R(r) - C(r) = (10 . r)(0.10) -10 . r(-)
100
==105 .r-10 4
.r 2 .
Critical points:
d 5 4
-P(r)=10 -2.10
dr
105 - 2 . 104 r = 0
2 . 104r. 105
10 = 2r
r=5
7
--~
d2
Concavity: ~dr Per) = -2.104 <0
Hence:
fi.(r)
~7\
~ r