A magazine company made a yearly profit P of $98 000 when the number of subscribers S totalled 32 000. When the number of subscribers increased to 35 000, the yearly profit was calculated to be $117 500. Assuming the profit P is a linear function of the number of subscribers S:
Write the profit function P(s).
What would the predicted yearly profit be when the number of subscribers reaches 50 000?
Write the profit function P(s).
What would the predicted yearly profit be when the number of subscribers reaches 50 000?
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the given data can be expressed as coordinates of a point:
(s,P)
the coordinates of the first point would be
(s1,P1) is (32,98)
and the coordinates of the second point would be
(s2,P2) is (35,117.5)
using the slope-intercept form of equation of a line we can formulate two equations from the given coordinates
y = mx + b -->slope intercept form
for the first point (s1,P1) is (32,98)
98 = m*(32) + b --->(eq.1)
for the second point (s2,P2) is (35,117.5)
117.5 = m*(98) + b --->(eq.2)
we now have two equations with two unknown variables. solve for the variables by simultaneous equation;
( 98.0 = m*(32) + b )*-1
( 117.5= m*(35) + b)
( -98.0 = -m*(32) - b)
( 117.5 = m*(35) + b)
adding the two equation will eliminate the variable b and allows us to solve for m
-98.0 + 117.5 = -m*32 + m*35 - b + b
19.5 = m*3
(19.5)/3 = m
plug in the value of m to either of eq.1 or eq.2 (i will use eq.1)
98 = m*(32) + b
98 = (19.5/3)*(32) + b
98 = (624/3) + b
98 - (624/3) = b
(-330/3) = b
-110 = b
thus.the required profit function
P(s) = (19.5/3)*s - 110 -->(eq.3)
to predict the yearly profit when the number of subscribers reaches 50000 use eq.3
P(s) = (19.5/3)*s - 110
P(50) = (19.5/3)*(50) - 110
P(50) = (975/3) - 110
P(50) = 325 - 110
P(50) = 215 thousand or 215,0000 <-----answer
(s,P)
the coordinates of the first point would be
(s1,P1) is (32,98)
and the coordinates of the second point would be
(s2,P2) is (35,117.5)
using the slope-intercept form of equation of a line we can formulate two equations from the given coordinates
y = mx + b -->slope intercept form
for the first point (s1,P1) is (32,98)
98 = m*(32) + b --->(eq.1)
for the second point (s2,P2) is (35,117.5)
117.5 = m*(98) + b --->(eq.2)
we now have two equations with two unknown variables. solve for the variables by simultaneous equation;
( 98.0 = m*(32) + b )*-1
( 117.5= m*(35) + b)
( -98.0 = -m*(32) - b)
( 117.5 = m*(35) + b)
adding the two equation will eliminate the variable b and allows us to solve for m
-98.0 + 117.5 = -m*32 + m*35 - b + b
19.5 = m*3
(19.5)/3 = m
plug in the value of m to either of eq.1 or eq.2 (i will use eq.1)
98 = m*(32) + b
98 = (19.5/3)*(32) + b
98 = (624/3) + b
98 - (624/3) = b
(-330/3) = b
-110 = b
thus.the required profit function
P(s) = (19.5/3)*s - 110 -->(eq.3)
to predict the yearly profit when the number of subscribers reaches 50000 use eq.3
P(s) = (19.5/3)*s - 110
P(50) = (19.5/3)*(50) - 110
P(50) = (975/3) - 110
P(50) = 325 - 110
P(50) = 215 thousand or 215,0000 <-----answer
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P = AS +B
98000 =32000A +B.............(i)
117500 =35000A + B ..........(ii)
by subtracting
19500 =3000A
A = 19500/3000 =195/30 = 6.5.......(iii)
From (i)
98000 =32000*6.5 + B
98,000 =211,250+B
B = -211,250 +98,000
B =-113,250.....................(iv)
P =(6.5)S -113,250 ...............Ans
98000 =32000A +B.............(i)
117500 =35000A + B ..........(ii)
by subtracting
19500 =3000A
A = 19500/3000 =195/30 = 6.5.......(iii)
From (i)
98000 =32000*6.5 + B
98,000 =211,250+B
B = -211,250 +98,000
B =-113,250.....................(iv)
P =(6.5)S -113,250 ...............Ans
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P(s)=6.5s-110,000