Suppose it costs $500 each month for Yuri’s real estate company in Exercise 51 to maintain and advertise each unit that is unrented.

a. Express the total monthly revenue R obtained from renting apartments as a function of the monthly rental price p for each unit.

b. Sketch the graph of the revenue function found in part (a).

c. What monthly rental price p should Yuri charge to maximize total revenue? What is the maximum revenue?

Data from Exercises 51

Yuri manages 150 apartments in Irvine, California. All the apartments can be rented at a price of $1,200 per month each, but for each $100 increase in the monthly rent, there will be five additional vacancies.