Applications of diffrentiation
Here is a question that I got stuck in..
Can you please help me solve it..
((A manager of a supermarket usually adds a mark-up of 20% to the wholesale prices of all the goods he sells.He reckons that he has a loyal core of F customers and that<if he lowers his mark-up to x% he will attract an extra k(20-x) customers from his rivals.Each week the average shopper buys goods whose wholesale value is A pounds.Show that with a mark-up of x% the supermarket will have an anticipated weekly profit of
1/100Ax((F+20k)-kx)) pounds
Show that the manager can increase his profit by reducing his mark-up below 20% provided that 20k>F
Re: Applications of diffrentiation
Quote:
Originally Posted by
puresoul 
here is a question that i got stuck in..
Can you please help me solve it..
((a manager of a supermarket usually adds a mark-up of 20% to the wholesale prices of all the goods he sells.he reckons that he has a loyal core of f customers and that<if he lowers his mark-up to x% he will attract an extra k(20-x) customers from his rivals.each week the average shopper buys goods whose wholesale value is a pounds.show that with a mark-up of x% the supermarket will have an anticipated weekly profit of
1/100ax((f+20k)-kx)) pounds
show that the manager can increase his profit by reducing his mark-up below 20% provided that 20k>f
help please ...
Re: Applications of diffrentiation
1. post this problem in the correct forum (calculus) ... the lobby is just for introductions.
2. DO NOT BUMP ... nobody "works" here. If someone decides to help, they will respond.
Re: Applications of diffrentiation
You waited an entire hour and 21 minutes before bumping? That, together with showing no work at all can get you banned from this board. Also you apparently do not realize that this problem has nothing to do with "differentiation"!
If his markup is x% of the original price, what would the new price be?
"If he lowers his mark-up to x% he will attract an extra k(20-x) customers." So how many customers would that be? And "income" is price times number of customers.
Re: Applications of diffrentiation
I am sorry..
I'll move the question to that forum..
Sorry :$
Re: Applications of diffrentiation
Quote:
Originally Posted by
HallsofIvy You waited an entire hour and 21 minutes before bumping? That, together with showing no work at all can get you banned from this board. Also you apparently do not realize that this problem has nothing to do with "differentiation"!
If his markup is x% of the original price, what would the new price be?
"If he lowers his mark-up to x% he will attract an extra k(20-x) customers." So how many customers would that be? And "income" is price times number of customers.
Iam sorry..
***
Thanks I was able to get the first part..
The question was from the chapter (applications of differentiation)...
Maybe you can do the second part of the question using differentiation..
But Iam not sure how you do that :(
