



 
Apoorva, The demand function is the price p(x) per necklace Terry can charge and if he sells x necklaces. If this is a linear function then
Last summer when the price was $10 he sold 20 necklaces per day so
When he increased the price to $10 + $1 = $11 he lost 2 sales per day. Thus
Solve these equations for a and b. The revenue that Terry makes is R(x)= x × p(x) and his cost is C(x) = 6 x Write an expression for the profit he makes and use your knowledge of calculus to maximize the profit. Penny  


Math Central is supported by the University of Regina and The Pacific Institute for the Mathematical Sciences. 