A firm's demand function is $p = 200 - 5Q$ where $p$ is the price per unit (in naira) and $Q$ is the quantity sold. Its total cost function is $TC = 5000 + 20Q + 0.5Q^{2}$. Determine the output level that maximizes profit and state the maximum profit (in naira).

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Maximum profit occurs at $Q = 47$ units, giving a profit of ₦9,045.

Neco 2024 Economics Question 31

A firm's demand function is \(p = 200 - 5Q\) where \(p\) is the price per unit (in naira) and \(Q\) is the quantity sold. Its total cost function is \(TC = 5000 + 20Q + 0.5Q^{2}\). Determine the output level that maximizes profit and state the maximum profit (in naira).

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