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A product costs the manufacturer ₹ 20 per unit. The demand function is given by p(x)=1000−20xp(x) = 1000 - 20x, then the quantity for maximum profit is :

Solution

✅ Correct Option: 4

Profit P=R−C=(1000−20x)x−20x=980x−20x2P = R - C = (1000-20x)x - 20x = 980x - 20x^2.

P′(x)=980−40x=0⇒x=98040=492P'(x) = 980 - 40x = 0 \Rightarrow x = \frac{980}{40} = \frac{49}{2}.

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