Question: For the nonlinear pricing decision model in Example 14.8, suppose that the company wants to keep the price at a maximum of $500. Note that

For the nonlinear pricing decision model in Example 14.8, suppose that the company wants to keep the price at a maximum of $500. Note that the solution in Figure 14.19 will no longer be feasible. Modify the spreadsheet model to include a constraint on the maximum price and solve the model. Interpret the information in the Solver Sensitivity Report.

Data from Figure 14.19

Optimal Solver Solution for Pricing Decision Model

A 1 Pricing Decision Model 2 3 Data 4 5 6 7

A 1 Pricing Decision Model 2 3 Data 4 5 6 7 Model 8 Price 9 Sales Function Slope 10 Sales Function intercept 11 12 13 B $549.58 -2.9485 3240.9 Sales 1620.45001 Total Revenue $890.574.26

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