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BP Cols must decide how much money to allocate for new soda and traditional soda advertising over the coming yeac, The advertising budget is $16,000,000.
BP Cols must decide how much money to allocate for new soda and traditional soda advertising over the coming yeac, The advertising budget is $16,000,000. Because BP wants to push its new sodis, at least one-ha'f of the advertising budget is to be devoted to new soda advertising. However, at least 32,000,000 is to be spent on its traditional sodas. Be estimates that each deliar spent on traditional sodas will transiate into 100 cans sold, whereas, because of the harder seli needed for new products, each doliar spent on new sodas will translate into 50 cans sold. To attact new customers, wh has bowered its proff margin on new sodas to 2 cents per can as compared to 4 cents per can for traditional sodas. How should BP allocate its acvertising buoget if it wants to maximite its profits while selling at least 750 milition cans? (Let x1=b be the amount spent on advertising for the new) soda. Let x2 io be the amount spent on advertising for the traditional sodo.i)
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