Given:
The Revenue function R(x):
[tex]R(x)\text{ = 550x}[/tex]
The cost function C(x) :
[tex]C(x)=1240+2x^2[/tex]
Solution
1. Profit is the difference between the revenue and the cost. Hence, the Profit function P(x) is:
[tex]\begin{gathered} P(x)\text{ = R(x) - C(x)} \\ =550x-(1240+2x^2) \\ =550x-1240-2x^2 \end{gathered}[/tex]
2. The vertical intercept of P(x) can be obtained by substituting x =0 into P(x)
[tex]\begin{gathered} P(x)=550x-1240-2x^2 \\ P(0)\text{ = 0 -1240 -0} \\ P(0)\text{ = -1240} \end{gathered}[/tex]
Ordered Pair : (0, -1240)
If the company sells no items, they would lose $ 1240
