The total cost and total revenue function of a commodity are given by C(x) =x+40 and $R(x) =ax-bx^2$.Break-even points are 5, 40 then a and b are : |
$a=2, b=10$ $a=10, b=0.2$ $a=2, b=0.1$ $a=1, b=0.2$ |
$a=10, b=0.2$ |
The correct answer is Option (2) → $a=10, b=0.2$ The Break events point occurs, $C(x)=R(x)$ when $x=5$, $5+40=a(5)-b(5)^2$ $45=5a-25b$ ...(1) when $x=40$, $40+40=a(40)-b(40)^2$ $40a-1600b=80$ ...(2) from (1) and (2) we get, $b=\frac{1}{5},a=10$ |