A merchant plans to sell two models of compact disc players at costs of $275 and $400. The $275 model yields a profit of $55 and the $400 model yields a profit of $75. The merchant estimates that the total monthly demand will not exceed 300 units. The merchant does not want to invest more than $100,000 in inventory for these products. Find the number of units of each model that should be stocked in order to maximize profit.
The answer is : Stock 160 units of the $275 model and 140 units of the $400 model.
How do I get to that answer?
The answer is : Stock 160 units of the $275 model and 140 units of the $400 model.
How do I get to that answer?