A national record distribution company sells records and tapes by mail only. A promotion program is planned for a major metropolitan area for a new country western album. The target audience is estimated at 800,000. Past experience indicates that for this city and this type of album the percentage of the target market R actually purchasing an album or tape is a function of the length of the advertising campaign,t. Specifically this sales responce funtion is: R=1-(e^(-0.025t)).
Profit margin is 2.50$ on each album and its advertising cost is 20000 as fixed cost and 2,500 as A variable cost. Determine how long the campaign should be conducted if the goal is to maximize net profit
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