Question
The cost function for a product in a firm is given by `5q^2` , where q is the amount of
production.
The firm can sell the product at a market price of Rs.50 per unit. The number of
units to be
produced by the firm such that the profit is maximized is
Answer: Option A
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P = 50q - `5q^2`
`(dp)/(dq)` = 50 - 10q; `(d^2p)/(dq^2)` < 0
`:.` p is maximum at 50 - 10q = 0 or, q = 5
Else check with options
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