A warehouse storage building company must determine how many storage sheds of ea

Question

A warehouse storage building company must determine how many storage sheds of each size—large or small—to build in its new 8,000-square-foot facility to maximize rental income. Each large shed is 150 square feet in size, requires $1 per week in advertising, and rents for $50 per week. Each small shed is 50 square feet in size, requires $1 per week in advertising, and rents for $20 per week. The company has a weekly advertising budget of $100 and estimates that it can rent no more than 40 large sheds in any given week. I am not understanding how to calculate this data in Excel

Explanation / Answer

let the large shed used be X;
let the small shed used be Y;

it can rent no more than 40 large sheds in any given week
therefore, X <= 40   ........(1)

150*X + 50*Y <= 8000 ........(2)
X + Y <= 100         ........(3)

We need to maximize,
50*X + 20*Y;

We can use excel solver to find the maximum value of (50*X + 20*Y);

Related Questions

Navigate

• Browse (All)
• Browse A
• Subjects

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.