The manager of a firm estimates that the sales of her firm are related to radio and newspaper advertising in the following way:
S = 24,000 + 2,000AT, where
S = the number of units sold
A = the number of quarter-page newspapers advertisements, and
T = the number of 15-second TV spots
a) If the newspaper ads cost $400 per quarter-page ad and the TV ads cost $1200 per 15-second spot, find the combination of newspaper and television ads that maximizes sales when the advertising budget is $24,000.
b) Also compute the optimal level of sales.