M/S ABC has the options of advertisement of its products Radio Pakistan and Pakistan Television (PTV). M/S ABC can spend $10,000/- a month for advertisement. Radio Pakistan charges $15 for each minute of advertisement and Pakistan Television charges $300 for each minute of advertisement for TV commercials. Marketing manager advises to advertise on radio Pakistan at least twice as much as on Pakistan Television. Further, he is not recommending to use more than 400 minutes of radio Pakistan advertising a month. Past historical data shows advertisement on Pakistan Television is estimated to be 25 times as effective as on radio Pakistan. Using Linear Programming method, find out the optimum allocation of the budget to radio and TV advertising.
M/S ABC has the options of advertisement of its products Radio Pakistan and Pakistan Television (PTV). M/S ABC can spend $10,000/- a month for advertisement. Radio Pakistan charges $15 for each minute of advertisement and Pakistan Television charges $300 for each minute of advertisement for TV commercials. Marketing manager advises to advertise on radio Pakistan at least twice as much as on Pakistan Television. Further, he is not recommending to use more than 400 minutes of radio Pakistan advertising a month. Past historical data shows advertisement on Pakistan Television is estimated to be 25 times as effective as on radio Pakistan. Using Linear Programming method, find out the optimum allocation of the budget to radio and TV advertising.
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