AntiFam, a hunger-relief organization, has earmarked between $4 and $4.5 million, inclusive, for aid to two African countries, country A and country B. Country A is to receive between $3 and $3.5 million, inclusive, in aid, and country B is to receive at least $0.75 million in aid. It has been estimated that each dollar spent in country A will yield an effective return of $0.60, whereas a dollar spent in country B will yield an effective return of $0.70. How should the aid be allocated if the money is to be utilized most effectively according to these criteria? Hint: If and
denote the amount of money (in million of dollars) to be given to country A and country B, respectively, then the objective function to be maximized is
.
A) Maximize subject to
B) Maximize subject to
C) Minimize subject to
D) Minimize subject to
E) Minimize subject to
Correct Answer:
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