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Advertisement Decisions at Big Bucks

The Big Bucks Placements Company wants to decide on which


advertising media to use. Its target is to reach 20,000 people
at minimum advertising cost. The media through which it may
advertise are three different weekly magazines. Fixed Costs of
developing an advertisement for the three magazines are Rs.
15000, Rs. 20,000 and Rs. 25000 respectively. Cost of
advertising is given on the basis of column length of the
advertisement and is Rs. 200, Rs. 180 and Rs. 230 per column
cm. respectively. The number of people that can be reached by
the three magazines depends on the length of the advertisement
and is as follows:

Magazine 1: 300*column length


Magazine 2: 250*column length
Magazine 3: 500*column length

Maximum total length of advertisement is to be restricted to


30cm in each magazine.
Assuming independence of readership, determine the
advertisement plan to attain the targeted reach at a minimum
cost.

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