Question
A bookseller sells novels at Rs. 200 per copy up to 50
copies. For every 5 extra copies bought, the bookseller reduces the price by Rs. 10 per book for the entire set. If the number of novels sold is always a multiple of 5, then how many novels should the bookseller sell to maximize revenue?Solution
ATQ, Selling price of 50 novels = 50 × 200 = Rs. 10,000 And selling price of 55 novels = 55 × 190 = Rs. 10,450 And selling price of 60 novels = 60 × 180 = Rs. 10,800 And selling price of 65 novels = 65 × 170 = Rs. 11,050 And selling price of 70 novels = 70 × 160 = Rs. 11,200 And selling price of 75 novels = 75 × 150 = Rs. 11,250 And selling price of 80 novels = 80 × 140 = Rs. 11,200 We can see that the total revenue increases till 75 copies and then decreases. So, the seller will have maximum revenue on selling 75 novels.
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