A Peach Farmer Must Decide How Many Peaches to Harvest

Multiple Choice

A peach farmer must decide how many peaches to harvest for the world peach fair.He knows that there is a 25 percent chance that the world price will be $3,a 50 percent chance that it will be $3.50,and a 25 percent chance that it will be $4.His cost function is C(Q) = 0.05Q².The expected profit-maximizing quantity is:

A) 0.
B) 3.5.
C) 35.
D) 40.