New Port Beach Business Daily

What rent should the manager charge to maximize revenue?: Optimization Problem Calculus?

The manager of a large apartment complex knows from experience that 100 units will be occupied if the rent is 468 dollars per month. A market survey suggests that, on the average, one additional unit will remain vacant for each 9 dollar increase in rent. Similarly, one additional unit will be occupied for each 9 dollar decrease in rent. What rent should the manager charge to maximize revenue? PLEASE HELP!

Public Comments

1. (100-X)(468 +9X)= (100+X)(468-9X)= y=-9x^2+432x+46800 dy/dx=432-18x 0=432-18x x=24 $252.00 rent for max revenue