Results 1 to 2 of 2

Thread: 2 Problems - In Need of Help

  1. #1
    Newbie
    Joined
    Aug 2016
    From
    Arizona
    Posts
    1

    2 Problems - In Need of Help

    Hello everyone! I am here asking for help on two problems. I am having the worst possible time with these two. Help would be greatly appreciated!!


    A businessperson has made the following observations about the relationship between the price and quantity demanded of his/her product:
    (200,$117) (350,$64) (425,$39) (275,$87)
    a. Find a reasonable demand function based on a linear Model.
    b. Find the revenue function.
    c. Find the quantity that will maximize your review


    In your convenience store you sell chocolate bars. The variable cost of the chocolate is .35 per bar, but if you purchase them in quantities greater than or equal to 8000 bars at a time, then each bar costs .25. Each order that you place costs 500 in shipping and handling and other various charges. The storage costs are $.01 on the average inventory if you order less than 8000 bars at a time. Otherwise your storage costs are .02 on the average inventory. You believe that you can sell 60000 bars over the next year.
    a) How many orders should you place to minimize overall cost ideally?
    b) How many chocolate bars ideally should be purchased with each order?
    c) What is your minimum cost?
    Follow Math Help Forum on Facebook and Google+

  2. #2
    Super Member
    Joined
    Oct 2009
    From
    Brisbane
    Posts
    797
    Thanks
    170

    Re: 2 Problems - In Need of Help

    Q1a Plot the points! Do a linear regression. Do you have to do it manually or can you use technology?
    Q1b Think about how you would calculate revenue if you know price and quantity sold.
    Q1c Do you mean maximise your revenue?
    Follow Math Help Forum on Facebook and Google+

Similar Math Help Forum Discussions

  1. Problems with integration by parts problems
    Posted in the Calculus Forum
    Replies: 3
    Last Post: Mar 2nd 2014, 03:43 AM
  2. Counting Problems Math Help-3 word problems
    Posted in the Statistics Forum
    Replies: 9
    Last Post: Nov 15th 2012, 08:30 PM
  3. Replies: 0
    Last Post: Apr 2nd 2012, 05:11 PM
  4. binomial problems/normal problems
    Posted in the Statistics Forum
    Replies: 1
    Last Post: Oct 20th 2010, 12:46 AM
  5. binomial problems as normal problems
    Posted in the Statistics Forum
    Replies: 1
    Last Post: Oct 20th 2010, 12:41 AM

Search Tags


/mathhelpforum @mathhelpforum