Question

1.Assume you are the manager of a hotel that has 381 rooms. You are trying to determine the price that will maximize the revenue.

You notice that as long as the hotel rate is $69 or lower, the hotel is fully booked.

However if you raise the price above $69 you notice that for each $1 increase in price, three fewer rooms will be booked.

Assuming that we call x the price increase, find a function that describes the revenue as a function of x.

2.

Assume you are the manager of a hotel that has 381 rooms. You are trying to determine the price that will maximize the revenue.

You notice that as long as the hotel rate is $69 or lower, the hotel is fully booked.

However if you raise the price above $69 you notice that for each $1 increase in price, three fewer rooms will be booked.

What price should you charge to maximize the revenue?

Round your answer to the nearest cent.

3.

Assume you are the manager of a hotel that has 381 rooms. You are trying to determine the price that will maximize the revenue.

You notice that as long as the hotel rate is $69 or lower, the hotel is fully booked.

However if you raise the price above $69 you notice that for each $1 increase in price, three fewer rooms will be booked.

What is the maximum revenue?

Round your answer to the nearest cent.

Answer 1