The revenue [tex]$R$[/tex] (in thousands of dollars) for a business is modeled by the equation [tex]$R = x^3 - 6x^2 + x + 75$[/tex], where [tex]$x$[/tex] is the number of years since 2000. The cost [tex]$C$[/tex] (in thousands of dollars) for this business is modeled by the equation [tex]$C = x^2 - 70x$[/tex].

Which equation represents the profit, [tex]$P$[/tex], for this business?

A. [tex]$P = x^3 - 5x^2 + 71x + 75$[/tex]
B. [tex]$P = -6x^2 + 71x + 75$[/tex]
C. [tex]$P = x^3 - 7x^2 + 71x + 75$[/tex]
D. [tex]$P = x^3 - 5x^2 - 69x + 75$[/tex]



Answer :

To find the equation representing the profit [tex]\( P \)[/tex] for the business, we start by understanding that profit is the difference between revenue [tex]\( R \)[/tex] and cost [tex]\( C \)[/tex]. Therefore, we need to subtract the cost function from the revenue function.

Given:
- The revenue function [tex]\( R(x) = x^3 - 6x^2 + x + 75 \)[/tex]
- The cost function [tex]\( C(x) = x^2 - 70x \)[/tex]

The profit function [tex]\( P(x) \)[/tex] is derived by subtracting the cost function from the revenue function:

[tex]\[ P(x) = R(x) - C(x) \][/tex]

Substitute the given functions:

[tex]\[ P(x) = (x^3 - 6x^2 + x + 75) - (x^2 - 70x) \][/tex]

Now, distribute and combine like terms:

[tex]\[ P(x) = x^3 - 6x^2 + x + 75 - x^2 + 70x \][/tex]

Simplify by combining the [tex]\( x^2 \)[/tex] terms and the [tex]\( x \)[/tex] terms:

[tex]\[ P(x) = x^3 - 6x^2 - x^2 + x + 70x + 75 \][/tex]
[tex]\[ P(x) = x^3 - 7x^2 + 71x + 75 \][/tex]

Thus, the equation that represents the profit [tex]\( P \)[/tex] for this business is:

[tex]\[ P = x^3 - 7x^2 + 71x + 75 \][/tex]

Among the given options, the correct one is:

[tex]\[ P = x^3 - 7x^2 + 71x + 75 \][/tex]

Therefore, the answer is:

[tex]\[ P = x^3 - 7x^2 + 71x + 75 \][/tex]