Based on the following sensitivity report, what would be the impact of changing the objective function coefficient for Product_1 to 11 and changing the objective function coefficient for Product_3 to 18? Applying the 100% rule, ______________ because the total change in the objective function coefficients _________________ 100%. first blank choices: A. the optimal solution will not change B. the optimal solution may change second blank choices: A. does exceed B. does not exceed Variable Cells Cell Name Final Value Reduced Cost Objective Coefficient Allowable Increase Allowable Decrease $B$2 Product_1 0 −2 10 6 1E+30 $B$3 Product_2 175 0 13 1E+30 12 $B$4 Product_3 0 −1.5 13 7 1E+30 Constraints Cell Name Final Value Shadow Price Constraint R.H.Side Allowable Increase Allowable Decrease $H$9 Resource_A 0 0 100 1E+30 100 $H$10 Resource_B 525 0 800 1E+30 275 $H$11 Resource_C 700 1.75 700 366.6666667 700
Based on the following sensitivity report, what would be the impact of changing the objective function coefficient for Product_1 to 11 and changing the objective function coefficient for Product_3 to 18? Applying the 100% rule, ______________ because the total change in the objective function coefficients _________________ 100%. first blank choices: A. the optimal solution will not change B. the optimal solution may change second blank choices: A. does exceed B. does not exceed Variable Cells Cell Name Final Value Reduced Cost Objective Coefficient Allowable Increase Allowable Decrease $B$2 Product_1 0 −2 10 6 1E+30 $B$3 Product_2 175 0 13 1E+30 12 $B$4 Product_3 0 −1.5 13 7 1E+30 Constraints Cell Name Final Value Shadow Price Constraint R.H.Side Allowable Increase Allowable Decrease $H$9 Resource_A 0 0 100 1E+30 100 $H$10 Resource_B 525 0 800 1E+30 275 $H$11 Resource_C 700 1.75 700 366.6666667 700
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
Related questions
Question
Based on the following sensitivity report, what would be the impact of changing the objective function coefficient for Product_1 to 11 and changing the objective function coefficient for Product_3 to 18?
Applying the 100% rule, ______________ because the total change in the objective function coefficients _________________ 100%.
first blank choices:
A. the optimal solution will not change
B. the optimal solution may change
second blank choices:
A. does exceed
B. does not exceed
Variable Cells
| Cell | Name | Final Value | Reduced Cost | Objective Coefficient | Allowable Increase |
Allowable Decrease |
| $B$2 | Product_1 | 0 | −2 | 10 | 6 | 1E+30 |
| $B$3 | Product_2 | 175 | 0 | 13 | 1E+30 | 12 |
| $B$4 | Product_3 | 0 | −1.5 | 13 | 7 | 1E+30 |
Constraints
| Cell | Name | Final Value | Shadow Price | Constraint R.H.Side | Allowable Increase |
Allowable Decrease |
| $H$9 | Resource_A | 0 | 0 | 100 | 1E+30 | 100 |
| $H$10 | Resource_B | 525 | 0 | 800 | 1E+30 | 275 |
| $H$11 | Resource_C | 700 | 1.75 | 700 | 366.6666667 | 700 |
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 3 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, finance and related others by exploring similar questions and additional content below.Recommended textbooks for you
Essentials Of Investments
Finance
ISBN:
9781260013924
Author:
Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:
Mcgraw-hill Education,
Essentials Of Investments
Finance
ISBN:
9781260013924
Author:
Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:
Mcgraw-hill Education,
Foundations Of Finance
Finance
ISBN:
9780134897264
Author:
KEOWN, Arthur J., Martin, John D., PETTY, J. William
Publisher:
Pearson,
Fundamentals of Financial Management (MindTap Cou…
Finance
ISBN:
9781337395250
Author:
Eugene F. Brigham, Joel F. Houston
Publisher:
Cengage Learning
Corporate Finance (The Mcgraw-hill/Irwin Series i…
Finance
ISBN:
9780077861759
Author:
Stephen A. Ross Franco Modigliani Professor of Financial Economics Professor, Randolph W Westerfield Robert R. Dockson Deans Chair in Bus. Admin., Jeffrey Jaffe, Bradford D Jordan Professor
Publisher:
McGraw-Hill Education