Reconsider the example of choosing the advertising budget for the VRX2000 that is presented in...

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Accounting

Reconsider the example of choosing the advertising budget for the VRX2000 that is presented in Section 1.4. There it was determined that the optimal level of advertising spending was $135,392 leading to a profit of $77,425. Now suppose that the selling price, variable cost and/or fixed cost can fluctuate as stated below.
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a. Re-solve the optimization model for the VRX2000 using a variable cost of $318, a selling price of $400, and fixed costs of $100,000. What are the optimal advertising budget and the resulting total profit?
b. Re-solve the optimization model for the VRX2000 using a variable cost of $278, a selling price of $400, and fixed costs of $100,000. What are the optimal advertising budget and the resulting total profit?
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Required A
Re-solve the optimization model for the VRX2000 using a variable cost of $318, a selling price of $400, and flxed costs of $100,000. What are the optimal advertising budget and the resulting total profit?
Note: Do not round Intermediate calculations. Round your answers to the nearest whole number.
\table[[Advertising budget,],[Total profit,]]
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