The Demand and Cost Equations for a Stethoscope Are Given $p = 134 - 0.0002 x$

question 53

Multiple Choice

The demand and cost equations for a stethoscope are given by $p = 134 - 0.0002 x$
and
$C = 50 x + 160,000$ where $p$ is the unit price (in dollars) , $C$ is the total cost (in dollars) , and $x$ is the number of units. The total profit $P$ (in dollars) obtained by producing and selling $x$ units is given by $P = R - C = x p - C.$ Determine a price $p$ that would yield a profit of $6.9 million.

• A)$36.62
• B)$48.83
• C)$97.65
• D)$109.86
• E)$73.24