Paris Lohan is a marketing analyst for Time Warner. She has fit an ADBUDG curve for each magazine that describes how the number of new subscriptions changes when the money spent on advertising the magazine changes. Paris now wants to determine a profit maximizing allocation of the ad budget for each magazine.
In Paris' target cell she has multiplied the number of new subscriptions by the annual profi t per subscriber to the magazine. Can you find an error in Paris' logic?