A housing contractor has subdivided a farm into 100 building lots. She has designed two types of homes for these lots: colonial and ranch style. A colonial requires $30,000 of capital and produces a profit of $3000 when sold. A ranch-style house requires $40,000 of capital and provides an $8000 profit. If the contractor has $3.8 million of capital on hand, how many houses of each type should she build for maximum profit? 20 X colonials 80 X ranches Will any of the lots be left vacant? O Yes O No Need Help? Read It

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