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# HELPP

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GetThere Airlines currently charges 200 dollars per ticket and sells 40,000 tickets a week. For every 10 dollars they increase the ticket price, they sell 8,000 fewer tickets a week. How many dollars should they charge to maximize their total revenue?

Jul 29, 2020

#1
+1130
+1

squares are the largest so we want to maximize it by making  a chart

200*40000=8000000

210*32000=6720000

220*24000=5280000

we see that 8000000 is greatest so our final answer is 8000000

Jul 29, 2020
#2
+1130
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i mean they charge 200 dollars per week to get 8000000

jimkey17  Jul 29, 2020
#6
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Be careful with this method....  you may miss the peak between data points!!!

ElectricPavlov  Jul 30, 2020
#7
+1130
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Oh we can decrease

jimkey17  Jul 30, 2020
#3
+26735
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EDITED

currently      \$ 200 x 40 000

200 + 10x     is the number of 10 dollar price increses (x)

tickets will be  40 000 - 8000x

revenue will be   price x # tix      =     (200+ 10x)(40 000- 8000x)    and we want the max of this

expanding     8 000 000 - 1,600,000x + 400,000x - 80,000x^2

re-arranging   - 80,000 x^2 -1,200,000x + 8 000 000  = REVENUE

MAX WILL OCCUR AT  x = -b/2a   =  - - 1 200 000 /(2*(-80,000) ) = -7.5

tells us increasing the price AT ALL willl result in a decrease in revenue !

If they DECREASE the ticket price   7.5  x 10 = \$ 75

to  \$125   they will max revenue at  \$ 12,500,000

Jul 29, 2020
edited by ElectricPavlov  Jul 29, 2020
edited by ElectricPavlov  Jul 29, 2020
edited by ElectricPavlov  Jul 29, 2020
#4
+1130
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Um if it's 15 tens then the tickets they sell will be negative

jimkey17  Jul 29, 2020
#5
+26735
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THAT is why I was editing.......

ElectricPavlov  Jul 29, 2020