Through its franchised stations, an oil company gives out 16,000 road maps per year. The cost of

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Through its franchised stations, an oil company gives out 16,000 road maps per year. The cost of setting up a press to print the maps is $100 for each production run. In addition, production costs are 6 cents per map and storage costs are 20 cents per map per year. The maps are distributed at a uniform rate throughout the year and are printed in equal batches timed so that each arrives just as the preceding batch has been used up. How many maps should the oil company print in each batch to minimize cost?

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Calculus For Business, Economics And The Social And Life Sciences

ISBN: 9780073532387

11th Brief Edition

Authors: Laurence Hoffmann, Gerald Bradley, David Sobecki, Michael Price

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