Looking for something else?

Not the answer you are looking for? Search for more explanations.

## More answers

Looking for something else?

Not the answer you are looking for? Search for more explanations.

- anonymous

A real estate office manages 50 apartments in a downtown building. When the rent is $900 per month, all the units are occupied. For every $25 increase in rent, one unit becomes vacant. On average, all units require $75 in maintenance and repairs each month. How much rent should the real estate office charge to maximize profits?
P(x) = R(x) - C(x)
This question I am stuck. I don't know how I would formulate the equations for revenue and cost. :|

At vero eos et accusamus et iusto odio dignissimos ducimus qui blanditiis praesentium voluptatum deleniti atque corrupti quos dolores et quas molestias excepturi sint occaecati cupiditate non provident, similique sunt in culpa qui officia deserunt mollitia animi, id est laborum et dolorum fuga.
Et harum quidem rerum facilis est et expedita distinctio. Nam libero tempore, cum soluta nobis est eligendi optio cumque nihil impedit quo minus id quod maxime placeat facere possimus, omnis voluptas assumenda est, omnis dolor repellendus.
Itaque earum rerum hic tenetur a sapiente delectus, ut aut reiciendis voluptatibus maiores alias consequatur aut perferendis doloribus asperiores repellat.

Get our expert's

answer on brainly

SEE EXPERT ANSWER

Get your **free** account and access **expert** answers to this

and **thousands** of other questions.

Get your **free** account and access **expert** answers to this and **thousands** of other questions

- anonymous

- schrodinger

See more answers at brainly.com

Get this expert

answer on brainly

SEE EXPERT ANSWER

Get your **free** account and access **expert** answers to this

and **thousands** of other questions

- amistre64

50(75) are the costs....$3750

- amistre64

or is that only 75 per unit rented?

- amistre64

the rate of change is linear....
900,50
925,49..... for every 25 over we drop by 1
50=900/25+b
5=90/25+b
b = 5 - 90/25 = 7/5
rooms = cost/25 +(7/5) ??

Looking for something else?

Not the answer you are looking for? Search for more explanations.

- amistre64

900,50; and 925,49
50 + 900/25 = b lol i forgot to negate the slope

- amistre64

50+36 = 86
y = -x/25+86

- amistre64

that is our demand function;.....

- amistre64

which can be rewritten as:
D(x) = (2150-x)/25

- amistre64

R * D(x) = total revenue and that has to be at least equal to 3750 to break even right?

- amistre64

since R is the rent charged and x = rent in our demand function; lets do this..
x(2150-x)
--------- >= 3750
25

- amistre64

2150x - x^2 >= 93750
0 >= x^2 -2150x + 93750
+2150/2 is the x amount at the max :)
1075 = x

- amistre64

lets see if that amount works out....

- amistre64

2150-1075
---------- = rooms rented
25
2150
1075
-----
1075/25 = 43
43(1075)>= 3750
1045
43
-----
4180
3135
-------
$44935 >= 3750...well, we make a profit at least :)

- amistre64

44935
3750
------
41185 in profits

- amistre64

we can trey that with 25 higher and 25 lower to see if we are right lol

- amistre64

2150-1100
---------- = rooms rented
25
2150
1100
-----
1050/25 = 42 ...really? i had to figure it out that way lol...im an idiot :)
of course 25 higher is one less lol

- amistre64

1100
42
-----
4400
2200
-------
46200
......................... see?
1050
44
-----
4200
4200
------
46200

- amistre64

DOH!!...now wheres my mistake lol

- amistre64

1075
43
-----
4300
3225
------
46225 ...thats better lol, i forgot how to multiply

Looking for something else?

Not the answer you are looking for? Search for more explanations.