Scenario: Mark grows herbs in his backyard. The following table shows his output as a function of the square feet of land used.

-Refer to the scenario above.Suppose Mark can sell his herbs at the price of $2.50 per pound,and that the rental price of land is $80 per square foot.How big of an herb garden should Mark maintain?

Question

Scenario: Mark grows herbs in his backyard. The following table shows his output as a function of the square feet of land used.
 
-Refer to the scenario above.Suppose Mark can sell his herbs at the price of $2.50 per pound,and that the rental price of land is $80 per square foot.How big of an herb garden should Mark maintain?

Quizplus · Accepted Answer

To determine the best size of the herb garden, we need to calculate the profit for each option.

For a 2 square foot garden, the output would be 3 pounds, and the revenue would be 3 pounds x $2.50 = $7.50. However, the cost of renting the land would be $80 x 2 = $160, resulting in a loss of $152.50.

Similarly, for a 3 square foot garden, the output would be 5 pounds, and the revenue would be 5 pounds x $2.50 = $12.50. The cost of renting the land would be $80 x 3 = $240, resulting in a loss of $227.50.

For a 4 square foot garden, the output would be 7 pounds, and the revenue would be 7 pounds x $2.50 = $17.50. The cost of renting the land would be $80 x 4 = $320, resulting in a profit of $-302.50.

Lastly, for a 5 square foot garden, the output would be 9 pounds, and the revenue would be 9 pounds x $2.50 = $22.50. The cost of renting the land would be $80 x 5 = $400, resulting in a profit of $-377.50.

Therefore, the best option for Mark is to maintain a 4 square foot garden, resulting in the smallest loss of $302.50.

Scenario: Mark Grows Herbs in His Backyard