GED Mathematical Reasoning TestAlgebraic Problem Solving with Expressions and EquationsMedium

A financial analyst is modeling the quarterly profit (P) of a company, which is described by the function P(q) = -2q² + 16q - 24, where 'q' is the number of quarters since the company started. What is the maximum profit the company achieves?

  1. A$8
  2. B$32
  3. C$16
  4. D$24
Show answer & explanation

Correct answer: A. $8

The function is a downward-opening parabola, so the maximum profit occurs at the vertex. The q-coordinate of the vertex is -b/(2a) = -16/(2*-2) = 4. Substitute q=4 into the function: P(4) = -2(4)² + 16(4) - 24 = -2(16) + 64 - 24 = -32 + 64 - 24 = 8.

Why the other options are wrong

  • B. This value does not result from the correct calculation of the vertex.
  • C. This is the 'b' coefficient, not the maximum profit.
  • D. This is the y-intercept, which is not the maximum profit.

Quadratic Function Vertex (Maximum/Minimum)

The vertex of a parabola represents the maximum or minimum value of a quadratic function. For a function in the form ax² + bx + c, the x-coordinate of the vertex is -b/(2a).

  • If 'a' > 0, the parabola opens upwards, and the vertex is a minimum.
  • If 'a' < 0, the parabola opens downwards, and the vertex is a maximum.
  • Substitute the x-coordinate of the vertex back into the function to find the maximum/minimum value.

Memory trick: Vertex finds the peak or pit!

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