Question
Mr. W and his wife decide to hold a housewarming party. They want to make sandwiches and eggrolls for guests. Suppose we can measure individuals
Mr. W and his wife decide to hold a housewarming party. They want to make sandwiches and eggrolls for guests. Suppose we can measure individuals’ satisfaction Contribution margin per sandwich= 4 Contribution margin per eggroll = 6 A sandwich requires 15 minutes to make and 1 egg An eggroll requires 10 minutes to make and 3 eggs Mr. and Mrs. W have 30 eggs They have 2 hours to prepare for the food Question:
1) What is the optimal mix of sandwiches and eggrolls, given the limited time and eggs?
2) What is the optimal mix when relaxing time constraints from 120 minutes to 170 minutes?
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Public Finance
Authors: Harvey Rosen, Ted Gayer
10th edition
9781259716874, 78021685, 1259716872, 978-0078021688
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