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Revenue, The marketing research department for a company that manufactures and sells "notebook" computers established the following price-demand and revenue functions.
p(x)=2,000-60x (price demand function)R(x) = xp(x) (revenue function)=x(2,000-60x)
Where p(x) is the wholesale price in dollars at which x thousand computers can be sold, and R(x) is in thousands of dollars. Both functions have a domain 1<(with an underline under <) x <(with an under line under<) 25.
1. Sketch a graph of the revenue function in a rectangular coordinate system.
2. Find the output (to the nearest hundred computers) that will produce the maximum revenue. What is the maximum revenue to the nearest thousand dollars?
3. What is the wholesale price per computer (to the nearest dollar) that produces the maximum revenue?
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