Phillip, the proprietor of a vineyard, estimates that the first 10,000 bottles of wine produced this season will fetch a profit of $4/bottle. However, the profit from each bottle beyond 10,000 drops by $0.0004 for each additional bottle sold.
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Assuming at least 10,000 bottles of wine are produced and sold, what is the maximum profit? What would be the price/bottle in this case?
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A. The maximum profit is $30,000.00, the price/bottle is $3.70/bottle
B. The maximum profit is $40,000.00, the price/bottle is $4.00/bottle
C. The maximum profit is $35,000.00, the price/bottle is $3.90/bottle
D. The maximum profit is $25,000.00, the price/bottle is $3.60/bottle
E. The maximum profit is $20,000.00,the price/bottle is $4.00/bottle
Answer: B
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