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.
-If the Mallory Furniture company decides to purchase 150 big shelves and no medium shelves, which of the two resources will be left over?
A) investment money only
B) storage space only
C) investment money and storage space
D) neither investment money nor storage space

Question

Quizplus · Accepted Answer

By purchasing only 150 big shelves, Mallory Furniture will invest $75,000 and require 15,000 cubic feet of storage space (since one big shelf requires 100 cubic feet). Therefore, 3,000 cubic feet of storage space (18,000 – 15,000) will be left over, but there will be no investment money left over.

Mallory Furniture Buys Two Products for Resale: Big Shelves (B)