The agency should issue to maximize its ticket sale income

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Reference no: EM132231051

A local transit agency issues three different types of passes to its customers, daily passes that are sold for $9, weekly passes that are sold for $35, and monthly passes that are sold for $120. The preliminary studies showed that the number of customers that will use these passes will not exceed 12000 each month. The daily and weekly passes can be obtained from ticket machines at any transit stop, while the monthly passes must be obtained from a customer service center. The administrative working units required for issuing one monthly pass are estimated to be 3.2 times the administrative working units needed to issue a daily or a weekly pass. The agency decided to have at least 1000 daily and 1000 weekly passes dispensed to the ticket machines each month, while the monthly passes will be issued to the customers on-site. The monthly administrative working units available to the agency is 30000 units. Based on this information, what is the optimal number of each pass type that the agency should issue to maximize its ticket sale income? Use simplex method to develop your solution.

Reference no: EM132231051

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