Consider a firm with a plant in the U.S. and Canada. A U.S.-based shipper charges $1.00 per unit to ship between the two countries. Assume no taxes and consider the following data.

	U.S.	Canada
Weekly Demand	7,000	6,000
Weekly Capacity	15,000	10,000
Sales Price	$40	Can$50
Production Cost	$17	Can$25

a. Suppose that the exchange rate is Can$1.00 (Canada) = $0.76 (U.S.). What is the best production and distribution plan, i.e., how much should be made in each country, and how much should be shipped between countries?

(Please, enter your answers as a whole number).

The U.S. production is

Canada production is

units should be shipped between countries.

b. Given your plan in part a, what is the profit in each country(expressed in

dollars)?

Profit in the U.S. =

Profit in Canada =