A model for a company’s revenue is R = -15p^2 + 300p + 12,000, where p is the price in dollars of the company’s product. What price will maximize revenue?

Question

A model for a company’s revenue is R = -15p^2 + 300p + 12,000, where p is the price in dollars of the company’s product.  What price will maximize revenue?

anonymous · Answer

@phi

phi · Answer

is this calculus or something else?

anonymous · Answer

Pythagorean theorum

phi · Answer

I meant what course?

anonymous · Answer

oh lol algebra 2

phi · Answer

ok.  any idea what kind of "curve" you have here?

anonymous · Answer

not any clue

phi · Answer

the "biggest exponent" is a 2

(from the first term   -15p^2 )

we call it a quadratic
or
PARABOLA

phi · Answer

and based on the question, we can assume the parabola looks like an upside down U    i.e. has a $ \cap $ shape  (with a peak)

phi · Answer

the peak (or bottom, if it's shaped the other way) is the VERTEX so you have to find the vertex of this parabola see http://hotmath.com/hotmath_help/topics/vertex-of-a-parabola.html