Question: (A) $920 (B) $1,060 (C) $1,120 (D) $940 (E) None of(A)-(D) A small business S is going to buy insurance from the M33 Insurance Company.

(A) $920 (B) $1,060 (C) $1,120 (D) $940 (E) None of(A)-(D) A(A) $920 (B) $1,060 (C) $1,120 (D) $940 (E) None of(A)-(D)

A small business S is going to buy insurance from the M33 Insurance Company. There are two types of insurance plans offered by M33, Plan A and Plan B, and both plans have two types of coverage, Fire and Liability. Each unit of Plan A that S buys costs $50 and gives $10,000 of Fire coverage and $180,000 of Liability coverage. Each unit of Plan B that S buys costs $40 and gives $15,000 of Fire coverage and $120,000 of Liability coverage. Small business S requires at least $300,000 of Fire coverage and at least $3,000,000 of Liability coverage. What is the least total cost of insurance of S using units of Plan A and Plan B so that its requirements above are met? (You may assume that there is a least total cost to S subject to the requirements above.)

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