Brs Mdm3 Tif Ch04

4341 WordsJan 20, 201518 Pages
Managerial Decision Modeling w/ Spreadsheets, 3e (Balakrishnan/Render/Stair) Chapter 4 Linear Programming Sensitivity Analysis 4.1 Chapter Questions 1) Surplus is typically associated with which type of constraints? A) ≤ B) ≥ C) = D) ≠ E) ± Answer: B Page Ref: 124 Topic: Sensitivity Analysis Using Graphs Difficulty: Easy 2) Assume that the shadow price of a non-binding "≤" constraint is 5. This implies that: A) if the right-hand side value of the constraint increases by 1 unit, the objective function value will increase by 5 units B) if the right-hand side value of the constraint increases by 1 unit, the objective function value will decrease by 5 units C) if the right-hand side value of the constraint increases by 1 unit,…show more content…
Each week there are 300 pounds of material 1; 400 pounds of material 2; and 200 hours of labor. The output of product A should not be more than one-half of the total number of units produced. Moreover, there is a standing order of 10 units of product C each week. Formulation Max 10A + 10B + 10C Subject to: 3A + B + 5C ≤ 300 (constraint #1) 2A + 4B ≤ 400 (constraint #2) 4A + 2B + 3.5C ≤ 200 (constraint #3) C ≥ 10 (constraint #4) A, B, C ≥ 0 9) Which constraints are binding? A) 1 and 2 B) 1 and 4 C) 2 and 3 D) 3 and 4 E) 2 and 4 Answer: D Page Ref: 130 Topic: Sensitivity Analysis Using Graphs Difficulty: Easy 10) What is the optimal objective function value? A) 925 B) 825 C) 100 D) 92.5 E) none of the above Answer: A Page Ref: 130 Topic: Sensitivity Analysis Using Graphs Difficulty: Easy 11) By how much would the profit contribution of product A has to increase before it will be profitable to produce A? A) $20 B) $0 C) $1E+30 D) $132.5 E) $10 Answer: E Page Ref: 130 Topic: Sensitivity Analysis Using Graphs Difficulty: Easy 12) Suppose that we force the production of one unit of product A. The new objective function value will be A) $925 B) $915 C) $935 D) $900 E) Not enough information is provided. Answer: B Page Ref: 130 Topic: Sensitivity Analysis Using Graphs Difficulty: Challenging 13) Suppose that the production manager has an additional 100 pounds of material 1. What impact will this have on the

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