Hello
I am once again having problems interpreting the question, my continuing battle unfortunatly. Also I have a hard time placing rate of change with marginal revenue at the right point in the questions. Anyway here is the question and my attempt at it.
Suppose that a company that spends $x on advertising sells $s os merchandise where s(x) = (-3x^3) + (270x^2) -(3600x) + 18000, and s and x are both in thousands of dollars.
a. Find the value of x that maximizes the rate of change of sales.
b. What is the significance of the value of x in (a)?
a. Revenue = sales
Rate of change = R'(x)
s(x) = (-3x^3) + (270x^2) -(3600x) + 18000
s'(x) = -9x^2 + 540x - 3600
Using the qaratic formula to determine s'(x) = 0 when x = 45
When x = 45 it maximizes the rate of change of sales
b. When $45000 is spent on advertising the maximum rate in sales occurs.
Thanks Sophie
I am once again having problems interpreting the question, my continuing battle unfortunatly. Also I have a hard time placing rate of change with marginal revenue at the right point in the questions. Anyway here is the question and my attempt at it.
Suppose that a company that spends $x on advertising sells $s os merchandise where s(x) = (-3x^3) + (270x^2) -(3600x) + 18000, and s and x are both in thousands of dollars.
a. Find the value of x that maximizes the rate of change of sales.
b. What is the significance of the value of x in (a)?
a. Revenue = sales
Rate of change = R'(x)
s(x) = (-3x^3) + (270x^2) -(3600x) + 18000
s'(x) = -9x^2 + 540x - 3600
Using the qaratic formula to determine s'(x) = 0 when x = 45
When x = 45 it maximizes the rate of change of sales
b. When $45000 is spent on advertising the maximum rate in sales occurs.
Thanks Sophie