Maximize Return: Find A to Maximize Contract Award

[ptlnguyen]

Homework Statement

Given:
f(x) = 1/2 - 1/4|A - x| where f(x) is total contract award, x = deliver date

if 5 < x < 7 then get a reward $500

Homework Equations

Find A such that it maximizes the contract award

The Attempt at a Solution

My approach: take derivative of f(x) and set it = 0 and solve for A
Am I correct? Thanks

 

[Mark44]

Homework Statement

Given:
f(x) = 1/2 - 1/4|A - x| where f(x) is total contract award, x = deliver date

if 5 < x < 7 then get a reward $500

Homework Equations

Find A such that it maximizes the contract award

The Attempt at a Solution

My approach: take derivative of f(x) and set it = 0 and solve for A
Am I correct? Thanks

What did you get?

Also, I'm moving this to the Calculus & Beyond section.

 

[haruspex]

if 5 < x < 7 then get a reward $500

I don't understand how that item of information fits in. Does it mean that the given formula for f(x) only applies outside that range?

Find A such that it maximizes the contract award

Won't that depend on x? Or is it supposed to maximise the average award given some prob dist for x? (There's a very similar problem in another recent thread, and it's just as unclear.)