A company sells a product such that 500 units are demanded when the price is Rs 20 each
MATHEMATICS · Single correct · CBSE · Mathematics · Applications of Derivatives · Applications of Derivatives
Problem
A company sells a product such that 500 units are demanded when the price is Rs 20 each, and 300 units are demanded when the price is Rs 30 each. Assuming a linear demand relation between price and quantity, at what price (in rupees) should the product be sold to maximise the revenue?
(a) 25
(b) 22.5
(c) 20
(d) 35