57
QuizMultiple Choice

N/A — Exam

Question 57 • Financial Math

FreshFlow produces organic juice bottles. The revenue function R⁡(p) and the expense function E⁡(p) in terms of price p are given by: R⁡(p)=200⁢p−4⁢p^2 E⁡(p)=1,500−24⁢p What is the profit equation P⁡(p) in terms of price p ?

Answer
A
cap p times p is equal to negative 4 p squared plus 176 p minus 1 comma 500
B
cap p times p is equal to negative 4 p squared plus 200 p
C
cap p times p is equal to negative 4 p squared plus 224 p minus 1 comma 500
D
cap p times p is equal to 4 p squared plus 224 p minus 1 comma 500

Explanation

Profit equals revenue minus expenses, so subtract E(p) from R(p): P(p) = (200p − 4p²) − (1,500 − 24p). Distribute the subtraction and combine like terms to get P(p) = −4p² + 224p − 1,500, which is choice C.

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