The total cost and the total revenue of a company that produces and sells x units of particular product are respectively $C(x) = 5x + 350$ and $R(x) = 50x – x^2$. Find the values of x that result in a loss.
Answer & explanation
Correct answer: option 2
The correct answer is Option (2) → $x<10\, or\, x>35$
Losses occur when $R(x) < C(x)$
$⇒ 50x-x^2 < 5x + 350 ⇒ x^2-45x + 350 > 0$
$⇒(x-10) (x -35) > 0 ⇒ x < 10\, or\, x > 35$.