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Sara's Sensible Critters Makes Two Kinds of Catnip Toys: Balls

question 13

Essay

Sara's Sensible Critters makes two kinds of catnip toys: balls (x1) and mice (x2). The relationship between demand and price for balls and mice is:
x1 = 1800 - 150p1
x2 = 1500 - 300p2
The cost for a catnip ball is $2 and for the mouse, $3.
Sara has only 200 ounces of catnip on hand. A ball uses a tenth of an ounce and a toy mouse uses one-quarter of an ounce.
-Sara has found an unlimited source of catnip so that is no longer a constraint. However, customer demand dictates that she produce 2.5 times more catnip balls than mice. How will this impact the prices that she should charge to maximize profit?


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