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Q. In planning a restaurant, it is estimated that a revenue of $6 per seat will be realized if the number of seats is at most 50. On the other hand, the revenue on each seat will decrease by $.10 for each seat exceeding 50 seats. Find the revenue function where x = the number of seats exceeding 50 seats. What is the maximum revenue and what number of seats generates that maximum revenue.
Calculation of before-tax return on capital employed Total net before-tax cash flow = 122 + 143 + 187 + 78 = $530000 Total depreciation = 250000 - 5000 = $245000 Average
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