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a company is considering two insurance plans with coverage and premiums shown in the table. (for example, this means that $50 buys one unit of

a company is considering two insurance plans with coverage and premiums shown in the table. (for example, this means that $50 buys one unit of plan A, consisting of $10,000 fire and theft insurance and $180,000 of liability insurance.) Answer parts a and b.

table: policy A. Policy B. Fire/theft $10,000 $15,000 Liability $180,000 $120,000 Premium $50 $40

a. The company needs at least $450,000 fire and theft insurance and at least $7,200,000 liability from these plans. How many units should be purchased from each plan to minimize the cost of the premiums? What is the minimum premium?

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