1 / 9

Children’s Zoo Tour Service

Children’s Zoo Tour Service. By, Thais Santos, Phoebe Cohen, Lucie Thorpe, Chris Lano. Leading Information. We operate a Zoo Tour Service Rates: $200.00 per person (50 people min.) For each additional person (after 50 people) rate is reduced by $2.00 per person. (Max 80 people)

fox
Download Presentation

Children’s Zoo Tour Service

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript


  1. Children’s Zoo Tour Service By, Thais Santos, Phoebe Cohen, Lucie Thorpe, Chris Lano

  2. Leading Information • We operate a Zoo Tour Service • Rates: $200.00 per person (50 people min.) • For each additional person (after 50 people) rate is reduced by $2.00 per person. (Max 80 people) • Cost: $6,000.00 (Plus $32.00 per person) for us to pay for the tour bus

  3. THE PROBLEM! HOW MANY PEOPLE SHOULD BE ON OUR TOUR TO MAXIMIZE OUR PROFIT?

  4. Step One: • Figure out the variables of each part of the equation. • Make ‘X’ equal the number of additional people. 50 + x = Number of people. 200 – 2x = The amount of revenue we would make.

  5. Examples: • X = 1 [number of people is 51, each person pays $198) • 50 + 1 = 51 • 200 – 2(1) = $198 • X = 2 [number of people is 52, each person pays $196] • 50 + 2 = 52 • 200 – 2(2) = $196

  6. Step Two: • Calculate the revenue equation • FOIL the two equations • (50 + x) (200 – 2x) • 10,000 – 100x + 200x -2x2 • 10,000 +100x – 2x2 • -2x2 + 100x + 10,000

  7. Step Three: • Figure out the equation for the cost to pay for the bus ($6000 + 32 per person) • X = number of additional people • Cost Equation = $6000 +32 (50 + x) = 6000 + 1600 + 32x • Subtract the cost equation from the revenue equation • (-2x2 + 100x + 10,000) – (7600 + 32x) • -2x2+ 68x +2,400

  8. Step Four: • To find the maximum profit (the biggest amount of money you can make), find the vertex of the equation • The coefficient in the x2 is negative, so you know that the graph will be a frowny-face! • Vertex = -b/2a • -68/-4 = 17 • VERTEX = 17 • 17 + 50 = 67

  9. YOU DID IT! 67 PEOPLE WILL MAXIMIZE YOUR PROFIT!!!

More Related