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Answer

Correct Option is Rs. 5.8 lakhs

Solution:maximum profit that can be earned when advertised with brand ambassador
(40000-38500-100)[10000×0.4+8000×0.4+5000×0.3]=121.8 lakhs
Expected profit without brand ambassador
= (40,000 –38,500)×[8000×0.4 +5000×0.4+3000×0.3] = 91.5 lakh.
Net profit earned by company after payment to brand ambassador=(121.8-91.5-24.5)=5.8 lakhs
 

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