Question: (LP Maximimization Problem w/Graphical Approach) Denver media company has signed with a new brand of sports equipment for advertising. They want to achieve the best
(LP Maximimization Problem w/Graphical Approach)
Denver media company has signed with a new brand of sports equipment for advertising. They want to achieve the best possible exposure with an advertising budget of $100,000. They have two promotion alternatives: TV spots and Newspaper ads. They need to decide how much of the budget to spend on each of them according to the following constraints:
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Each television spot costs $3,000; each newspaper ad costs $1,250.
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The expected exposure, based on industry ratings, is 35,000 viewers for each TV commercial and 20,000 readers for each newspaper advertisement.
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At least 5 but no more than 25 television spots should be ordered; and that at least 10 newspaper ads should be contracted.
Using corner point graphical approach, find how many times should each of the two media be used to obtain maximum exposure while staying within the budget?
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