The profit p (in hundreds of dollars) that a company makes depends on the expenditure x (in hundreds of dollars) that the company spends advertising according to the model p (x) = - 0.5x^2 + 20x+230. What expenditure for advertising will yield maximum profit?

Expenditure x (in hundreds of dollars) = $2,000

Step-by-step explanation:

Given:

Profit p (in hundreds of dollars)

Expenditure x (in hundreds of dollars)

p (x) = - 0.5x² + 20x + 23

Find:

Expenditure for advertising.

Computation:

x = - (Cofficient of x) / 2 (Cofficient of x²)

x = - (20) / 2 (-0.5)

x = 20

Expenditure x (in hundreds of dollars) = 20 * $100

Expenditure x (in hundreds of dollars) = $2,000