Suppose the feasible region has five corners at these points: (1, 1), (1, 7), (5, 7), (5, 5), and (4, 3). If the profit formula is P = $10x + $5y, which point maximizes the profit?
A) (1, 7)
B) (5, 7)
C) (5, 5)
D) (4, 3)

Question

Quizplus · Accepted Answer

To maximize profit, we need to evaluate the profit formula at each corner point and choose the point that gives the highest value. 
P(1,1) = $10(1) + $5(1) = $15 
P(1,7) = $10(1) + $5(7) = $45 
P(5,7) = $10(5) + $5(7) = $85 
P(5,5) = $10(5) + $5(5) = $50 
P(4,3) = $10(4) + $5(3) = $50 
Therefore, the point that maximizes profit is (5,7) with a profit of $85.

Suppose the Feasible Region Has Five Corners at These Points