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U3D8 - Independent Practice

A small company that manufactures snowboards uses the relation 
P=81 x(2-x) to model heir profit. In the model, 
x represents the number of snowboards in thousands, and 
P epresents the profit in thousands of dollars.
a. The company breaks even where there is neither a profit or a loss. What are the break even points for the company?
b. How many snowboards must the company produce to earn a maximum profit?
c. What is the maximum profit the company can earn?

U33D88 - Independent Practice\newline11. A small company that manufactures snowboards uses the relation P=81x(2x) P=81 x(2-x) to model heir profit. In the model, x x represents the number of snowboards in thousands, and P P epresents the profit in thousands of dollars.\newlinea. The company breaks even where there is neither a profit or a loss. What are the break even points for the company?\newlineb. How many snowboards must the company produce to earn a maximum profit?\newlinec. What is the maximum profit the company can earn?

Full solution

Q. U33D88 - Independent Practice\newline11. A small company that manufactures snowboards uses the relation P=81x(2x) P=81 x(2-x) to model heir profit. In the model, x x represents the number of snowboards in thousands, and P P epresents the profit in thousands of dollars.\newlinea. The company breaks even where there is neither a profit or a loss. What are the break even points for the company?\newlineb. How many snowboards must the company produce to earn a maximum profit?\newlinec. What is the maximum profit the company can earn?
  1. Set PP equal to 00: To find the break even points, set PP equal to 00 and solve for xx.0=81×(2x)0 = 81 \times (2 - x)
  2. Isolate the term: Divide both sides by 8181 to isolate the term (2x)(2 - x). \newline0=2x0 = 2 - x
  3. Solve for x: Add xx to both sides to solve for xx.x=2x = 2
  4. Break even point: The break even point is when xx equals 22, which means the company breaks even when they sell 20002000 snowboards.
  5. Find the vertex: To find the number of snowboards for maximum profit, we need to find the vertex of the parabola represented by the equation P=81×(2x)P = 81 \times (2 - x). The vertex form of a parabola is P=a(xh)2+kP = a(x - h)^2 + k, where (h,k)(h, k) is the vertex.
  6. Rewrite the equation: The equation P=81×(2x)P = 81 \times (2 - x) can be rewritten as P=81x2+162xP = -81x^2 + 162x by expanding and rearranging.
  7. Calculate h: The xx-coordinate of the vertex (hh) can be found using the formula h=b2ah = -\frac{b}{2a}.\newlineIn our equation, a=81a = -81 and b=162b = 162.
  8. Determine snowboards needed: Calculate h=162/(2×81)h = -162 / (2 \times -81). h=162/162h = -162 / -162
  9. Substitute xx into equation: h=1h = 1\newlineThis means the company must produce 10001000 snowboards (since xx is in thousands) to earn maximum profit.
  10. Calculate maximum profit: To find the maximum profit kk, substitute x=1x = 1 into the equation P=81x2+162xP = -81x^2 + 162x.P=81(1)2+162(1)P = -81(1)^2 + 162(1)
  11. Calculate maximum profit: To find the maximum profit kk, substitute x=1x = 1 into the equation P=81x2+162xP = -81x^2 + 162x.P=81(1)2+162(1)P = -81(1)^2 + 162(1)Calculate P=81+162P = -81 + 162.P=81P = 81
  12. Calculate maximum profit: To find the maximum profit kk, substitute x=1x = 1 into the equation P=81x2+162xP = -81x^2 + 162x.P=81(1)2+162(1)P = -81(1)^2 + 162(1)Calculate P=81+162P = -81 + 162.P=81P = 81The maximum profit the company can earn is $81,000\$81,000 (since PP is in thousands of dollars).

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