Question
Asked Sep 10, 2019
47 views
A company produces a special new type of TV. The company has fixed costs of
​$475,000​,
and it costs
​$1100
to produce each TV. The company projects that if it charges a price of
​$2600
for the​ TV, it will be able to sell
750
TVs. If the company wants to sell
800
​TVs, however, it must lower the price to
​$2300.
Assume a linear demand.
 
How many TVs must the company sell to earn
​$2,090,000
in​ revenue?

 

check_circle

Expert Answer

Step 1

Calculation:

From the given information, the following demand equations can be framed.

750 = x + 2600y           …… (1)

800 = x + 2300y           …… (2)

By solving the above equations the v...

Want to see the full answer?

See Solution

Check out a sample Q&A here.

Want to see this answer and more?

Solutions are written by subject experts who are available 24/7. Questions are typically answered within 1 hour.*

See Solution
*Response times may vary by subject and question.
Tagged in

Math

Calculus