Question

Raquel designs a new hair clip and plans to start a business selling them. She wants to sell her product at a reasonable price while still making the most money possible. She comes up with the quadratic equation y=−0.75x2+24x to reflect her desired revenue. Solving mathematically, if you were to graph the parabola, at what price would the hair clip earn the most revenue?(1 point)
$

Answer 1

Use the vertex of the parabola y = ax^2 + bx + c. Here a = −0.75, b = 24, so
x = −b/(2a) = −24/(2·−0.75) = 16.

So the clip should be priced at $16 to maximize revenue. (Maximum revenue = y(16) = $192.)