The Apex Television Company has to decide on the number of 27- and 20-inch sets to be produced at one of its factories.

Market research indicates that at most 40 of the 27-inch sets and 10 of the 20-inch sets can be sold per month. The maximum number of work-hours available is 500 per month. A 27-inch set requires 20 work-hours and a 20-inch set requires 10 work-hours.

Each 27-inch set sold produces a profit of $120 and each 20-inch set produces a profit of $80. A wholesaler has agreed to purchase all the television sets produced if the numbers do not exceed the maxima indicated by the market research.

(a) Formulate a linear programming model for this problem.

D

(b) Use the graphical method to solve this model.