A small company produces organic cookies. When the price is $6.00 per dozen, the average daily sales has been 72 dozen cookies. When the price was decreased to $3.00 per dozen, the average daily sales increased to 110 dozen cookies. Assume that daily cookie sales is linearly related to price per dozen. Each dozen cookies has a variable cost of 87 cents to make, plus additional daily fixed costs of $84.00 Find a function that models the daily profit in terms of the sales x in dozens of cookies. P(z) = Now, find the daily profit when 44 dozen cookies are manufactured and sold. 2$ Round all answers to the nearest hundredth.
A small company produces organic cookies. When the price is $6.00 per dozen, the average daily sales has been 72 dozen cookies. When the price was decreased to $3.00 per dozen, the average daily sales increased to 110 dozen cookies. Assume that daily cookie sales is linearly related to price per dozen. Each dozen cookies has a variable cost of 87 cents to make, plus additional daily fixed costs of $84.00 Find a function that models the daily profit in terms of the sales x in dozens of cookies. P(z) = Now, find the daily profit when 44 dozen cookies are manufactured and sold. 2$ Round all answers to the nearest hundredth.
Managerial Economics: A Problem Solving Approach
5th Edition
ISBN:9781337106665
Author:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor
Publisher:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor
Chapter4: Extent (how Much) Decisions
Section: Chapter Questions
Problem 3MC
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A small company produces organic cookies. When the price is $6 per dozen, the average daily sales has been 72 dozen cookies. When the price was decreased to $3 per dozen, the average daily sales increased to 110 dozen cookies. Assume that daily cookie sales is linearly related to price per dozen. Each dozen cookies has a variable cost of 87 cents to make, plus additional daily fixed costs of $84.
Find a function that models the daily profit in terms of the sales x in dozens of cookies.
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