Question

A car rental agency has 150 cars. The owner finds that at a price $48 per day he can rent all the cars. For each $2 increase in price, the demand is less and 4 fewer cars are rented. What rental charge will maximize revenue? (Under the chapter of quadratic functions :)

Answer 1

48+2n results in this many cars 150-4n
R=(48+2n)(150-4n)

Answer 2

Maximize R

Answer 3

Expand and you will see its the equation of a parabola that is facing down, hence you need to find the vertex to know the maximum.

Answer 4

thank you so much! was having some problems with setting up the equation but I understand. :)