A bus service carries 10 000 people daily between Ajax and Union Station and the company has space to serve up to 15 000 people per day. The cost to ride the bus is $20. Market research shows that if the fare increases by $0.50, 200 fewer people will ride the bus. What fare should be charged to get the maximum revenue, given that the bus company must have at least $130 000 in fares a day to cover operating costs.

A bus service carries 10 000 people daily between Ajax and Union Station and the company has space to serve up to 15 000 people per day. The cost to ride the bus is $20. Market research shows that if the fare increases by $0.50, 200 fewer people will ride the bus. What fare should be charged to get the maximum revenue, given that the bus company must have at least $130 000 in fares a day to cover operating costs.

College Algebra

10th Edition

ISBN:9781337282291

Author:Ron Larson

Publisher:Ron Larson

Chapter8: Sequences, Series,and Probability

Section: Chapter Questions

Problem 5CT: A custom-blend bird seed is made by mixing two types of bird seeds costing $0.75 per pound and $1.25...

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