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Q5 20 pts) A plant wishes to determine the production rate at which its profit is maximum. If the selling price is a function of

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Q5 20 pts) A plant wishes to determine the production rate at which its profit is maximum. If the selling price is a function of market demand such that the price versus demand is p=0.02n5105n2. The fixed charges are 23,000 and the variable (manufacturing) cost is 1.1OR/ item. The fixed capital investment is 1,500,000 OR. Depreciation is linear calculated over 10 years. The tax rate is 15%. Determine a. The optimum production rate of this plant, (kg/yr) ? b. The net profit (OR/yr)

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