Mallory Furniture buys two products for resale: big shelves (B) and medium shelves (M). Each big shelf costs $500 and requires 100 cubic feet of storage space, and each medium shelf costs $300 and requires 90 cubic feet of storage space. The company has $75,000 to invest in shelves this week, and the warehouse has 18,000 cubic feet available for storage. Profit for each big shelf is $300 and for each medium shelf is $150. a) Which of the following is not a feasible purchase combination? A) 0 big shelves and 200 medium shelves B) 0 big shelves and 0 medium shelves C) 150 big shelves and 0 medium shelves D) 100 big shelves and 100 medium shelves

Question

Mollie Silva

Business

17 July, 02:56

Mallory Furniture buys two products for resale: big shelves (B) and medium shelves (M). Each big shelf costs $500 and requires 100 cubic feet of storage space, and each medium shelf costs $300 and requires 90 cubic feet of storage space. The company has $75,000 to invest in shelves this week, and the warehouse has 18,000 cubic feet available for storage. Profit for each big shelf is $300 and for each medium shelf is $150. a) Which of the following is not a feasible purchase combination? A) 0 big shelves and 200 medium shelves B) 0 big shelves and 0 medium shelves C) 150 big shelves and 0 medium shelves D) 100 big shelves and 100 medium shelves

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Answers (1)

Know the Answer?

George Ewing · Answer 1

The answer is D

Explanation:

Solution:

Recall that:

Malloy Furniture purchases two products: Big shelves B and Medium shelves M

The cost of big shelf is = $500

The space required = 100 cubic feet

The cost of each medium shelf is = $300

Storage space = 90 cubic feet,

Now,

Since the values 100 and 90 is greater than 18000 cubic feet available for storage, what is required would be 100 big shelves and 100 medium shelves