The total cost of producing x units is Rs. (x - 4x +5) and the price is Rs. (30x) per unit. Then Maximum profit is one of the following? a 139.5 135 126
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Profit P is given by
P=Revenue−Cost=Rs. {(50−
2
x
)x−(
4
x
2
+35x+25)}=Rs.(−
4
3
x
2
+15x−25).
P=(−
4
3
x
2
+15x−25)
differentiating the above equation, we get,
dx
dP
=−
2
3
x+15
equate
dx
dP
=0
⇒−
2
3
x+15=0
∴x=10
again differentiating the above equation, we get,
dx
2
d
2
P
=−
2
3
<0 maxima
Therefore profit is maximum, when daily output is 10 items
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