Question

8. The profit, P. (in dollars) for Ace Car Rental is given by P= 100x-0.1x², where x is the number of cars ren

How many cars have to be rented for the company to maximize profits? (Use the vertex point)
A 500 cars
B 1,000 cars
C 12,500 cars
D 25,000 cars

Answer 1

To determine the number of cars that need to be rented for the company to maximize profits, we can examine the vertex point of the quadratic function P = 100x - 0.1x².

The vertex of a quadratic function in the form ax² + bx + c is given by the x-coordinate: x = -b / (2a).

In this case, a = -0.1 and b = 100. Plugging these values into the formula, we get:

x = -100 / (2 * -0.1)
x = -100 / -0.2
x = 500

Therefore, the company needs to rent 500 cars to maximize profits.

The correct answer is A. 500 cars.