Damar writes a book on how to save money. He wants to determine the price at which he should sell the book in order to maximize his revenue. He comes up with the equation y=-0.1x²+26, where x represents the selling price and y represents the revenue earned. In terms of the context, describe in 1-2 sentences at what sale price his book would return maximum revenue and what that revenue would be.

1 answer

To find the sale price at which Damar's book would yield maximum revenue, we need to determine the vertex of the parabola represented by the equation \( y = -0.1x^2 + 26 \). The vertex occurs at \( x = -\frac{b}{2a} = -\frac{0}{2 \times -0.1} = 130 \). Thus, at a selling price of $130, Damar would achieve maximum revenue, which can be calculated as \( y = -0.1(130)^2 + 26 = 1300 - 26 = 1274 \). Therefore, the optimal sale price is $130, resulting in maximum revenue of $1,274.