A small workshop makes desks. Market research gives the price it can charge per desk when it produces desks a day, and the accounts department gives the daily cost of producing them:
| Quantity | Formula (hundreds of rupees) |
|---|---|
| Price per desk | |
| Total daily cost |
Daily profit is revenue minus cost, where revenue is price multiplied by the number sold:
Every optimization problem has three parts. Here the variable you may change is , the objective function is , and the direction is up — the workshop wants profit as large as possible.
At how many desks a day should the workshop set its production?
The answer is a whole number of desks, so no rounding is needed. Report the production level itself — the setting — and not the profit that setting earns.