The data in the table below, from a survey of resort hotels with comparable rates on Hilton Head Island, show that room occupancy during the off season (Nov.-Feb) is related to the price Charged for a basic room.
Price per Day Occupancy Rate
95 . 46
A.) Multiply each occupancy rate by 200 to get the hypothetical room occupancy. Create the revenue data points that compare the price with the revenue, R, which is equal to price times the room occupancy
B.) Use the calculator to create an equation that models the revenue, R, as a function of the price per day, x.
C.) Use maximization techniques to find the price that these hotels should charge to maximize the daily revenue
What have you done thus far?
You are told exactly what to do for part A.). Do that then post the results and what problems you are having with the other parts.
Originally Posted by nikki090909
(also you might consider the actual number of days in the off-season rather than the arbitary 200 days mentioned)