The dealership is offering three types of vehicles, sedan, SUV and pickup truck. The dealership has 5,000 sqft parking space available for displaying all its inventory and has $981,000 budget for purchasing new car inventory from a car manufacturer. The purchasing cost and required parking space for each type of vehicle is listed in the table below. It is estimated that the maximum possible demand for sedan, SUV and truck are 16, 22 and 12 during this sale season. For each sold sedan, SUV and truck, the dealer will make an average profit of $1,000, $1,200 and $1400 respectively. The dealership wants to decide how many sedan, SUV and truck it should purchase and display in its parking lot to make the most profit.

Answer rating: 100% (QA)

Profit according to demand Sedan 16 x 1000 16000 SUV 22 x 1200 26... View the full answer