A marketing manager has advertising budget of $150,000. In order to raise automobile sales, the firm is considering advertising in newspapers and upon TV. The more a specific medium is employed, the less effective is each additional ad. Each newspaper ad costs $1,000 and each TV ad costs $9,000. At most 30 newspaper ads and at most 15 TV ads can be placed. Formulate and resolve the problem.
|
No. of Ads
|
New Customers
|
|
Newspaper
|
1-10
|
900
|
|
11-20
|
600
|
|
21-30
|
300
|
|
TV
|
1-5
|
10,000
|
|
6-10
|
5,000
|
|
11-15
|
2,000
|