The profit (in thousands of dollars) of a company is represented as P=−5x2+1,000x+5,000

, where P
represents the profit and x represents the amount spent on marketing (in thousands of dollars). How much spending in the thousands will be directed toward marketing to achieve the maximum profit?(1 point)
$

1 answer

To find the amount spent on marketing that maximizes the profit \( P \), we need to analyze the quadratic function given by:

\[ P = -5x^2 + 1000x + 5000 \]

This is a quadratic equation in the form of \( ax^2 + bx + c \), where:

  • \( a = -5 \)
  • \( b = 1000 \)
  • \( c = 5000 \)

For a quadratic function \( ax^2 + bx + c \) with \( a < 0 \), the maximum value occurs at the vertex, which can be found using the formula \( x = -\frac{b}{2a} \).

Plugging in our values for \( a \) and \( b \):

\[ x = -\frac{1000}{2 \times -5} = -\frac{1000}{-10} = \frac{1000}{10} = 100 \]

So, the amount spent on marketing to achieve the maximum profit is \( 100 \) (in thousands of dollars).

Thus, the answer is:

\[ \boxed{100} \]