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Mathematics 22 Online
OpenStudy (anonymous):

HELP PLEASE! a tour company offers half-daily cruises to a nearby island. Each tour has fixed costs of $560 and additional costs of $14 per passenger. At the current price of $32, they expect an average of 200 passengers per cruise. Past statistics indicate that if the price is raised by $3, 25 fewer passengers will take the cruise. Assuming the demand function is linear, what price should the company charge to maximize profit?

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