Bounds Inc. determined through regression analysis that its sales (S) are a function of the amount of advertising (measured in units) in two different media. This relationship is given by the following equation (X = newspapers, Y = magazines): S(X; Y) = 200X + 100Y - 10X2 - 20Y2 + 20XY a. Find the level of newspaper and magazine advertising that maximizes the firm’s sales. b. Calculate the firm’s sales at the optimal values of newspaper and magazine advertising determined in part (a).
Bounds Inc. determined through regression analysis that its sales (S) are a function of the amount of advertising (measured in units) in two different media. This relationship is given by the following equation (X = newspapers, Y = magazines): S(X; Y) = 200X + 100Y - 10X2 - 20Y2 + 20XY a. Find the level of newspaper and magazine advertising that maximizes the firm’s sales. b. Calculate the firm’s sales at the optimal values of newspaper and magazine advertising determined in part (a).
Algebra for College Students
10th Edition
ISBN:9781285195780
Author:Jerome E. Kaufmann, Karen L. Schwitters
Publisher:Jerome E. Kaufmann, Karen L. Schwitters
Chapter9: Polynomial And Rational Functions
Section9.4: Graphing Polynomial Functions
Problem 44PS: A company determines that its weekly profit from manufacturing and selling x units of a certain item...
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Bounds Inc. determined through
S(X; Y) = 200X + 100Y - 10X2 - 20Y2 + 20XY
a. Find the level of newspaper and magazine advertising that maximizes the firm’s sales.
b. Calculate the firm’s sales at the optimal values of newspaper and magazine advertising determined in part (a).
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