Problem 8-9 The Chamber of Commerce periodically sponsors public service seminar
ID: 3170853 • Letter: P
Question
Problem 8-9 The Chamber of Commerce periodically sponsors public service seminars and programs. Currently, promotional plans are under way for this year's program. Advertising alternatives include television, radio, and newspaper. Audience estimates, costs, and maximum media usage limitations are as shown: Constraint Television Radio Newspaper Audience per advertisement 100,000 18,000 40,000 Cost per advertisement $2,000 $300 $600 Maximum media usage 10 20 10 To ensure a balanced use of advertising media, radio advertisements must not exceed 50% of the total number of advertisements authorized. In addition, television should account for at least 10% of the total number of advertisements authorized.
Explanation / Answer
ans=
a. Let
T = number of television spot advertisements
R = number of radio advertisements
N = number of newspaper advertisements
100,000T + 18,000R + 40,000N
s.t. 2,000T + 300R + 600N 18,200
Budget T 10 Max TV
R 20 Max Radio
N 10 Max News -0.5T + 0.5R - 0.5N 0
Max 50% Radio 0.9T - 0.1R - 0.1N 0
Min 10% TV T, R, N, 0