Consider the Win Big Gambling Club media selection problem in Section 3.3 (Figure 3.4). In that formulation, we maximized audience coverage subject to an advertising budget constraint (plus other constraints). Problems such as this can alternatively be formulated to minimize advertising expenditures subject to a minimum level of audience coverage achieved. Resolve the Win Big Gambling Club problem by minimizing advertising costs and replacing the budget constraint with a constraint stating that audience coverage must be at least 60,000 people.

Figure 3.4

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A E G H 1 Win Big Gambling Club Fractional values can be rounded off 3 A appropriately, if desired. TV Newspaper Prime-time Afternoon spots 1.97 5000 radio spots radio spots 6.21 2400 4 ads 5 Number of units 6 Audience 7 Constraints: 8 Maximum TV 9 Maximum newspaper 10 Max prime-time radio 5.00 8500 0.00 2800 67240.30 1 1.97 <= 1 5.00 6.21 <= 0.00 <= 58,000.00 <= 58,000 25 20 1 11 Max afternoon radio 12 Total budget 13 Maximum radio 5 14 Minimum radio spots S800 $925 $290 $290 $380 $380 <= $1,800 $1,800.00 6.21 1 1 >= 15 LHS Sign RHS 16 Solver Parameters 17 18 19 Set Objective: SF$6 20 21 C Min C Value Of: To: Max 22 23 By Changing Variable Cells: 24 SB$5: SE$5 25 26 Subject to the Constraints: SF$14 >= SH$14 SF$8:$F$13 <- $H$8:$H$13, 27 28 Add 29 All six s constraints are entered as a single entry in Solver. 2558: