Creates and maintains web sites for client companies

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Reference no: EM131028064

The firm WebsAreUs creates and maintains Web sites for client companies. There are two types of Web sites: “Hot” sites change their layout frequently but keep their content for long times; “cool” sites keep their layout for a while but frequently change their content. Maintaining a hot site requires 1.5 hr of layout time and 1 hr for content changes. Maintaining a cool site requires 1 hr of layout time and 2 hr for content changes. Every day, WebsAreUs has 12 hr available for layout changes and 16 hr for content changes. Net profit is $50 for a set of changes on a hot site and $250 for a set of changes on a cool site.

To maximize profit, how many of each type of site should WebsAreUs maintain daily? Solve the problem graphically.

How, if at all, do the maximum profit and optimal policy change if the company must maintain at least two hot and three cool sites daily? Solve the problem graphically.

Reference no: EM131028064

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