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A paper company produces two products, tissue paper and paper towels. A run of t

ID: 3217108 • Letter: A

Question

A paper company produces two products, tissue paper and paper towels. A run of tissue paper requires 16.3 units of paper and 32.6 units of solvent. A run of paper towels requires 16.3 units of paper and 48.9 units of solvent. The company only has 22005 units of paper and 52812 units of solvent. The revenue generated for each run of tissue paper is $316.5 and for each run of paper towels is $443.1. How many runs of each product should be made in order to maximize revenue assuming all items will be sold? Enter below the maximum revenue in dollars and cents.

Explanation / Answer

Let the number of tissue paper be x and number of paper towels be y

Total Paper required=16.3x+16.3y<=22005

Total Solvent required=32.6x+48.9y<=52812

Total Revenue=316.5x+443.1y

Gives x=810, y=540

Total Revenue=$495639

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