2. Intel, the largest semiconductor manufacturing company in the world, sells two major types of computer chips, type A and type B. The sales of these two chips are dependent of each other (in economics, we call these substitutable products because if the price of one increases, sales of the other will increase). The store wishes to establish a pricing policy to maximize revenue from these chips. A study of price and sales data shows the following relationships between the quantities sold (N) and prices (P) of each model: NA = 55 + 0.05PA + 0.35PB; NB = 63 + 0.15PA - 0.18PB
a. Construct a mathematical model for the total revenue.
b. What is the predicted revenue if PA = $40.50 and PB = $50?