Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

A brand manager for ColPal Products must determine how much time to allocate between radio and television advertising during the next month. Market research has

  1. A brand manager for ColPal Products must determine how much time to allocate between radio and television advertising during the next month. Market research has provided estimates of the audience exposure for each minute of advertising in each medium, which it would like to maximize. Costs per minute of advertising are also known, and the manager has a limited budget of $25,000. The manager has decided that because television ads have been found to be much more effective than radio ads, at least 70% of the time should be allocated to television.

Suppose that we have the following data:

Type of Ad Exposure/Minute Cost/Minute

Radio 350 $400

TV 800 $2,000

a.Identify the decision variables, objective function, and constraints in simple verbal expressions.

b.Mathematically formulate a linear optimization model.

2. Implement the linear optimization model that you developed for ColPal Products in Problem 2 in Excel and use Solver to find an optimal solution.

3.Ensurethat thenumberofminutesofeach typeofadareinteger valued. How much difference is there between the optimalintegersolution and the linear optimization solution? Would rounding the continuous solution have provided the optimal integer solution?

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

College Algebra

Authors: Margaret L. Lial, John Hornsby, David I. Schneider, Callie Daniels

12th edition

134697022, 9780134313795 , 978-0134697024

More Books

Students also viewed these Mathematics questions