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domyy
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Homework Statement
A wholesale paint dealer is buying and distributing x cases of paint per week. She incurs the following expenses:
(1) Fixed costs of $1200
(2) An expense of $60x per week representing the cost of x cases to the dealer ($60 per case)
(3) A cost of $x^2/24 per week for storing the inventory, handling accounts, etc.
Sales can be maintained at a rate of x cases per week at a price p dollars per case, where x=2160-24p. Due to space and other limitations, the dealer's maximum level of operation is 1000 cases per week.
a) Determine the price p at which the dealer should sell each case to maximize the weekly profit.
Homework Equations
Would it be correct:
p(x) =x.p- 60x - 1200 - x^2/24
I was wondering if in (x.p) x would be 1000 because it's the maximum number of cases per week.
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