Your firm sells club soda in both grocery stores and convenience stores
Your firm sells club soda in both grocery
stores and convenience stores. You have a budget of $550 for store displays,
and must decide how to allocate this budget between grocery stores and
convenience stores to maximize the total number of sales. The following table
shows the total number of units that can be sold in grocery stores and
convenience stores, according to the number of displays in each type of store.
Displays in grocery stores cost $150 each and displays in convenience stores
cost $100 each.
a. With $550 to spend, the total number of
units sold will be maximized by choosing ______ displays in grocery stores and
______ displays in convenience stores. With $550 to spend, the maximum number
of units that can be sold is _______.
b. Suppose your firm can spend $1,200 on store
displays. The total number of units sold will be maximized by choosing ______
displays in grocery stores and ______ displays in convenience stores. The
maximum number of units that can be sold is _______.
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Rating:
/5
Solution: Your firm sells club soda in both grocery stores and convenience stores