Problem 801

 

A  publishing company sells 900,000 copies of certain books each year. It costs the company 1 to store each book for a year. Each time it must print additional copies, it costs the company500 to set up the presses. How  many books should the company produce during each printing in order to minimize its total storage and setup costs?

 

Solution:-

 

The company should produce 30,000 books each printing in order to minimize costs.

 

 

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