Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

SALS Marketing Inc. is developing an advertising campaign for a large consumer goods corporation. SALS has promised a plan that will yield the highest possible

SALS Marketing Inc. is developing an advertising campaign for a large consumer
goods corporation. SALS has promised a plan that will yield the highest possible exposure rating, a
measure of the ability to reach the appropriate demographic group and generate demand. The options
for advertisements with their respective costs (per unit of advertising) and per-unit exposure ratings are
given in the table below.
Category Subcategory Cost/Unit Exposure/Unit
Magazines Literary $7,50015000
News $10,00022500
Topical $15,00024000
Newspapers Major Evening $3,00075000
Major Morning $2,00037500
Television Morning $20,000275000
Midday $10,000180000
Evening $60,000810000
Radio Morning $15,000180000
Midday $15,00017000
Evening $10,00016000
Of course, certain restrictions exist for the advertising campaign. The client corporation has budgeted
$800,000 for the campaign, but to restrict overexposure to any particular audience it wants no more than
$300,000 put into any one category (Magazine, Newspaper, etc.). Also, to ensure a broad range of
exposure, at least $100,000 must be spent in each category.
Formulate the problem as a linear program.
(a) What are the decision variables?

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

Records And Information Management

Authors: William Saffady

4th Edition

1538152541, 978-1538152546

More Books

Students also viewed these General Management questions

Question

Describe the functions of water and oxygen in the human body.

Answered: 1 week ago