Business
Engineering
Math
Science
Social ScienceThe business manager of a 90 unit apartment building is trying to determine the rent to be charged. From past experience with similar buildings, when rent is set at $400, all the units are full. For every $20 increase in rent, one additional unit remains vacant. What rent should be charged for maximum total revenue? 1. What is the maximum total revenue? 2. What is the formula for revenues R after x $20 price hikes in the apartment building? 3. Graph the function 4. Find the maximum revenue (or income) of the apartment building. 5. What is the rent that coincides with this maximum revenue? 6. What is the outcome of the rent hike of $20 results in 2 additional vacancies instead of 1 additional vacancy? Recalculate questions 3, 5, 6 for this new scenario.
The business manager of a 90 unit apartment building is trying to determine the rent to be charged. From past experience with similar buildings, when rent is set at $400, all the units are full. For every $20 increase in rent, one additional unit remains vacant. What rent should be charged for maximum total revenue?
1. What is the maximum total revenue?
2. What is the formula for revenues R after x $20 price hikes in the apartment building?
3. Graph the function
4. Find the maximum revenue (or income) of the apartment building.
5. What is the rent that coincides with this maximum revenue?
6. What is the outcome of the rent hike of $20 results in 2 additional vacancies instead of 1 additional vacancy? Recalculate questions 3, 5, 6 for this new scenario.
Expert Answer
Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the question and specify the other subparts (up to 3) you’d like answered.
Initial rent = $400 , and total 90 units are there
For every $20 increase in rent, one additional unit remains vacant
Let him increase $20 x times
So new rent = 400+20x and units occupied = (90-x)
Total revenue = (400+2x)(90-x)
For maximum revenue R'(x)=0, s...
Math
Calculus
Other
Related Calculus Q&A
Q: Find the derivative of the function. f(x)% 3D(x²+1)(x² + 10)/3 f'(x)%3D
A: Given equation
Q: How is the exponential function ex defined? What are its domain, range, and derivative? What laws of...
A: How is the exponential function ex defined? What are its domain, range, and derivative? What laws of...
Q: Consider the following two equations. уд Find the values of x for which f(x) = g(x). a.
A: From the given graph of f and g
Q: Prove the identities sinh (x + y) = sinh x cosh y + cosh x sinh y, cosh (x + y) = cosh x cosh y + si...
A: Click to see the answer
Q: A girl is sliding down a slide shaped like the curve y = 9e^(-x/3). Her y-coordinate is changing at ...
A: Given,
Q: Math a Quiz Show that the Tollowing eguation represents a state its center cnd Sphere in R 3, cnd ra...
A: Given an equation
Q: a. Show that y = tan u increases on every open interval in its domain. b. If the conclusion in part ...
A: (a) Given,
Q: A vertical rectangular plate a units long by b units wide is sub-merged in a fluid of weight-density...
A: known fact:
Q: A certain college graduate borrows $8000 to buy a car. The lender charges interest at an annual rate...
A: A certain college graduate borrows $8000 to buy a car. The lender charges interest at an annual rate...
