Question

R(x) = -40x^2 + 5000x

Determine the prices where the revenue is zero?
For each price where the revenue is zero, explain why the revenue is zero.

Answer 1

The prices where the revenue is zero are $x = 0 and $x = 125.

When x = 0, the revenue is 0 since the function is equal to zero (R(0) = -40(0)^2 + 5000(0) = 0).

When x = 125, the revenue is 0 since the coefficient of the x^2 term is negative and the coefficient of the x term is positive. Since the equation is equal to zero, the two terms must cancel each other out, resulting in zero revenue (R(125) = -40(125)^2 + 5000(125) = 0).

Explanation: