The Westchester Chamber of Commerce periodically sponsors public service seminars and programs. Currently, promotional plans are under way for this year’s program. Advertising alternatives include television, radio, and online. Audience estimates, costs, and maximum media usage limitations are as shown: Constraint Television Radio Online Audience per advertisement 100000 18000 20000 Cost per advertisement $2000 $300 $600 Maximum media usage 10 20 10 To ensure a balanced use of advertising media, radio advertisements must not exceed 50% of the total number of advertisements authorized. In addition, television should account for at least 10% of the total number of advertisements authorized. If the promotional budget is limited to $31,100, how many commercial messages should be run on each medium to maximize total audience contact? What is the allocation of the budget among the three media? If required, round your answers to the nearest dollar.

Westchester Chamber

                                                 Television              Radio        Online Audience

cost per advertisement              $2,000               $300              $600

Number                                      100,000            18,000             20,000

Usage                                               10                   20                  10

Cost per audience                          $0.20             $0.33         $0.3

Rank                                               1st                       3rd                 2nd                                                                              

Allocation of available budget

Available amount                                                 $31,100

Television (2000*10)                                           (20,000)

Online Audience (600*10)                                    (6,000)

Radio                                                                      5,100

Commercial message to be run

Television                                                          10 times

Online Audience                                              10 times

Radio (    $5100/$300)                                     17 times

Explanation:

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