Questions 10-15 all refer to the following situation: Gerry's Atascadero Pharmacy (GAP) carries two brands of over-the-counter allergy-relief pills, a nationally distributed brand on which GAP makes a profit of 5 cents per bottle. Sales goals for this year require that GAP sell at least 10,000 bottles per month. Each bottle of the national brand cost GAP 50 cents to buy at wholesale, while the top-of-the-line brand cost 60 cents. Gerry wants to find out how many bottles of each brand must be sold per month in order to maximize profit and yet keep costs from $5,400. There is 7 cents per bottle profit for the top of the line brand.

16. How many bottles of each brand should Gerry sell each month order to maximize profit?

d. none of national brand and 10,800 of top-of-line brand

Nope, while it is true that this would make Gerry mega-bucks ($756), this point is not in the feasibility area. Remember the wholesale-cost constraint? .50N + .60t <= 5,400 but here .50(0) + .60(10,800) = 6,480 - Waaay too much.

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