The Salt Creek Soap Company Has Determined the Following Nonlinear

question 33

Multiple Choice

The Salt Creek Soap Company has determined the following nonlinear model to determine the optimal pounds of industrial soap (X1) and shampoo (X2) it should produce each day.
Maximize Z = X1² + 2X2² - 8X1 - 12X₂ + 34
Subject to: X₁ + 2X₂ = 4 lbs
-What is profit when the optimal values of soap and shampoo are produced?

• A) Z = 12
• B) Z = 14
• C) Z = 16
• D) Z = 18

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Definitions:

Deductibility

Deductibility refers to the eligibility of an expense to be subtracted from gross income to reduce taxable income, based on IRS guidelines.

Schedule C

A form used by sole proprietors to report income and expenses from a business or profession to the IRS.

Schedule E

A form used with the Form 1040 for reporting income from rental property, royalties, partnerships, S corporations, estates, trusts, and residual interests.

Tax Purposes

Criteria or activities specifically considered or accounted for in the calculation or management of taxes.