A student makes and sells necklaces on the beach during the summer months. The material for each necklace costs her $6 and she has been selling about 24 per day for $10 each. He has been wondering whether or not to increase the price, so he takes a survey and finds that for every dollar increase he would lose 2 sales a day.

(a) If she increases her price by x dollars, then her price will be dollars, her number of sales for the day will be necklaces, and her cost to produce the necklaces for one day will be dollars.

(b) Write your profit P as a function of the number x of price increases in dollars:

P(x) =


(b) What price (to the nearest cent) should you charge for the necklaces to maximize your profit?

$

(c) What is the maximum profit (to the nearest cent)?

$

Answer rating: 100% (QA)

a If the student increases the price by x dollars then the new price per necklace will be 10 x The n... View the full answer