Jerry Wolfe has a 100-acre farm that he is dividing into one-acre plots, on each of which he builds a house. He then sells the house and land. It costs him $20,000 to build a modest house and $40,000 to build a deluxe house. He has $2,600,000 to cover these costs. The profits are $25,000 for a modest house and $60,000 for a deluxe house. How many of each type of house should he build to maximize profit? How, if at all, do the maximum profit and optimal production policy change if Wolfe is required to build at least 20 of each type of house?
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Equations and inequalities describe the relationship between two mathematical expressions.
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A linear function can just be a constant, or it can be the constant multiplied with the variable like x or y. If the variables are of the form, x2, x1/2 or y2 it is not linear. The exponent over the variables should always be 1.
Jerry Wolfe has a 100-acre farm that he is dividing into one-acre plots, on each of which he builds a house. He then sells the house and land. It costs him $20,000 to build a modest house and $40,000 to build a deluxe house. He has $2,600,000 to cover these costs. The profits are $25,000 for a modest house and $60,000 for a deluxe house. How many of each type of house should he build to maximize profit? How, if at all, do the maximum profit and optimal production policy change if Wolfe is required to build at least 20 of each type of house?
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