Profits for one of Company X's flagship products have been

[jantika]

Profits for one of Company X's flagship products have been declining slowly for several years. The CFO investigated and determined that inflation has raised the cost of producing the product but consumers who were surveyed reported that they felt the product’s functionality didn’t justify a higher price. As a result, the CFO recommended that the company stop producing this product because the CEO only wants products whose profit margins are increasing.

The answer to which of the following questions would be most useful in evaluating whether the CFO's decision to divest the company of its flagship product is warranted?
1) Does the company have new and profitable products available with which to replace the flagship product?
2) Will the rest of Company X's management team agree with the CFO's recommendation?
3) Can Company X sell the flagship product to new markets to increase its customer base?
4) Are there additional features that could be added to the product without raising the unit price?
5) What percentage of Company X's revenues is represented by sales of the flagship product in question?

I agree with option 4 but banged my head over these choices and in the pressure went with 1).
Reasons:
In support of 1):
Even though this product is not making a profit, it is not making any loss. If there are no new products, why do you want to ramp down the production on something which is still making money

Against 4):
Not stating "without raising the unit making price?" made me tumble. The word "price" in the stem is used to refer selling price and so without raising selling price and adding features will make the profit margin come down more. So I did not choose it. Should the answer choice instead use "cost of production" in the choice because that is the word used to indicate manufacturing costs in the stem.

Am I thinking wrong? Thank you.

[RonPurewal]

You are absolutely correct; that answer choice should say "production cost", not "price".
This is a serious error, especially considering that the passage uses "price" and "cost" for retail and production, respectively. Whoa.

I've submitted the problem for revision.

[RonPurewal]

By the way --

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Thanks.