Student Suite Cd-rom For Winston's Operations Research: Applications And Algorithms
Student Suite Cd-rom For Winston's Operations Research: Applications And Algorithms
4th Edition
ISBN: 9780534423551
Author: Wayne L. Winston
Publisher: Cengage Learning
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Chapter 2, Problem 17RP

Explanation of Solution

Determining a linear equation system:

Assume that the amount x denotes the after-tax profit. It is given that the company earns a profit of $60,000.

Also, it is given that the company pays employees a bonus equal to 5% of after-tax profits. Thus, Bonus is as follows:

5100×x=0.05x

So, the residue amount after deducting bonus is =(600000.05x).

Also, the state tax is 5% of profits after the bonuses are paid.

Thus, the state tax is =0.05×(600000.05x).

So, the residue amount after deducting bonus, state tax is =60000[0.05×(600000.05x)+(600000.05x)]

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