A stereo mail order center has 8,000 cubic feet available for storage of its private label loudspeakers
The ZAR3 speakers cost $295 each and require 4 cubic feet of space; the ZAR2ax speakers cost $110 each and require 3 cubic feet of space; and the ZAR4 model costs $58 and requires 1 cubic foot of space. The demand for the ZAR3 is at most 20 units per month. The wholesaler has $100,000 to spend on loudspeakers this month. Each ZAR3 contributes $105, each ZAR2ax contributes $50, and each ZAR4 contributes $28. The objective is to maximize total contribution. Formulate this problem as a linear program.
Maximize contribution = 105 ZAR3 + 50 ZAR2ax + 28 ZAR4
Subject to
4 ZAR3 + 3 ZAR2ax + 1 ZAR4 ? 8000
295 ZAR3 + 110 ZAR2ax + 58 ZAR4 ? 100,000
1 ZAR3 ? 20
all variables ? 0
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