Question

A school typically sells 500 year books in a year for $50 each. the economics class does a project and discovers that they can sell 125 more year books for every $5 decrease in price. The revenue for year book sales is R(x)= ( 500 +125x )( 50- 5x )
To maximize the profit what price should the school charge for the yearbooks?

35, 40, 45, 50?

Answer 1

The answer is $40

500*50x=25,000

625*40x=25,000