Farmer bring to the market to maximize profits

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An apple farmer must decide how many apples to harvest for hte US market. He knows that there is a 1/2 probability that the world price will be $6, a 1/4 probability that it will be $8, and a 1/4 probability that it will be $10 per bushel. His cost function is C(C) =0.1Q². How many bushels of apples should the farmer bring to the market to maximize profits?

Reference no: EM131242404

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