Math Problem Statement
The manager of an 80-unit apartment complex knows from experience that at a rent of $300, all the units will be full. On the average, one additional unit will remain vacant for each $20 increase in rent over $300. Furthermore, the manager must keep at least 30 units rented due to other financial considerations. (a) Suppose that x represents the number of $20 increases over $300. Represent the number of apartment units that will be rented in terms of x . (b) Represent the rent per unit in terms of x . (c) Use the answers in part (a) and (b) to write an equation that defines the revenue generated when there are x increases of $20 over $300. (d) The revenue currently generated is $35,000. How many apartment units are rented?
Solution
We will go through each part of the problem step by step:
Part (a) - Number of Apartment Units Rented in Terms of :
Let represent the number of $20 increases over the initial $300 rent.
- At $300 rent, all 80 units are rented.
- For each $20 increase in rent, one additional unit will become vacant.
Thus, the number of units rented as a function of is:
Part (b) - Rent per Unit in Terms of :
The rent starts at $300, and for each increase of , the rent rises by $20.
So the rent per unit in terms of is:
Part (c) - Revenue as a Function of :
Revenue is calculated as:
Substituting the expressions from part (a) and part (b):
Now, expanding this expression:
So the revenue as a function of is:
Part (d) - Finding How Many Units Are Rented When Revenue is $35,000:
We are given that the revenue is $35,000. So, we set and solve for :
Subtract 35000 from both sides: Multiply the equation by -1 to simplify: Rearranging it in standard quadratic form:
Now, solve this quadratic equation using the quadratic formula:
Now, compute the two possible values for :
Since the manager must keep at least 30 units rented, and the number of units rented is , we can only accept because units is below the required 30 units. Thus, is the valid solution.
Now, the number of units rented when is:
Final Answer:
When the revenue is $35,000, 70 units are rented.
Would you like more details on any part? Here are some related questions:
- What is the maximum revenue the manager can generate?
- How would the equation change if rent increased by $30 instead of $20?
- How many units are rented when the rent is $400?
- How does the vacancy rate change as rent increases?
- Can you graph the revenue function to visualize the relationship between rent and units?
Tip: Always check that your solutions satisfy all problem constraints, such as minimum or maximum values.
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Math Problem Analysis
Mathematical Concepts
Algebra
Quadratic Equations
Revenue Optimization
Formulas
Units rented = 80 - x
Rent per unit = 300 + 20x
Revenue = (Number of units rented) × (Rent per unit)
Quadratic equation formula: ax^2 + bx + c = 0
Theorems
Quadratic Formula
Suitable Grade Level
Grades 9-12