Problems

For each situation described below, identify the target cell, changing cells, and constraints.

1. I am borrowing $100,000 for a 15-year mortgage. The annual rate of interest is 8 percent. How can I determine my monthly mortgage payment?

2. How should an auto company allocate its advertising budget between different advertising formats?

3. How should cities transport students to more distant schools to obtain racial balance?

4. If a city has only one hospital, where should it be located?

5. How should a drug company allocate its sales-force efforts among their products?

6. A drug company has $2 billion allocated to purchasing bio-tech companies. Which companies should they buy?

7. The tax rate charged to a drug company depends on the country in which a product is produced. How can a drug company determine where each drug should be made?