QUESTION 1

An optimal solution is ________.

a. any set of decision variable values that maximizes or minimizes the objective function

b. the quantity that we seek to minimize or maximize

c. the limitation or requirement that decision variables must satisfy

d. also known as the constraint function

QUESTION 2

In the expression 3.0A + 3.5B + 2.3C ≥ 850, where A, B, and C are decision variables of a problem, the constraint function is the ________.

a. right-hand side of the expression

b. contradiction of the inequality given in the expression

c. left-hand side of the expression

d. inequality in the expression

QUESTION 3

A binding constraint is one ________.

a. for which the Cell Value is equal to the right-hand side of the value of the constraint

b. for which the Cell Value is greater than the right-hand side of the value of the constraint

c. for which the Cell Value is not equal to the right-hand side of the value of the constraint

d. for which the Cell Value is lesser than the right-hand side of the value of the constraint

QUESTION 4

The ________ is the difference between the right- and left-hand sides of a constraint.

a. shadow price

b. allowable increase

c. optimal solution

d. slack

QUESTION 5

The shadow price ________.

a. tells how much the value of the allowable decrease will change as the right-hand side of a constraint is reduced to 0

b. tells how much the objective coefficient needs to be reduced in order for a nonnegative variable that is zero in the optimal solution to become positive

c. tells how much the value of the allowable increase will change as the left-hand side of a constraint is reduced to 0

d. tells how much the value of the objective function will change as the right-hand side of a constraint is increased by 1

QUESTION 6

Consider the scenario given below. Use Excel Solver to answer the following question(s).

Peca Inc. is a small manufacturer of two types of office chairs, the swivel and no-swivel models. The manufacturing process consists of two principal departments: fabrication and finishing. The fabrication department has 24 skilled workers, each of whom works 7 hours per day. The finishing department has 6 workers, who also work a 7-hour shift. A swivel type requires 7 labor hours in the fabricating department and 2 labor hours in finishing. The no-swivel model requires 8 labor hours in fabricating and 3 labor hours in finishing. Peca Inc. makes a net profit of $100 on the swivel model, and $130 on the no-swivel model. The company anticipates selling at least twice as many no-swivel models as swivel models. The company wants to determine how many of each model should be produced on a daily basis to maximize net profit. Let X1 be the amount of swivel model to be produced in a day, and X2 be the amount of no-swivel model.

Determine the objective function?

a. Minimize profit = 5.375X1 + 10.75X2

b. Minimize profit = 130X1 + 100X2

c. Maximize profit = 100X1 + 130 X2

d. Maximize profit = 24X1 + 14X2

QUESTION 7

Please use Solver to calculate the number of swivel chairs produced in a day.

a. 30 units

b. 5.25 units

c. 10.5 units

d. 15 units

QUESTION 8

Using the data, calculate the number of no-swivel chairs produced in a day.

a. 10.5 units

b. 5.25 units

c. 15 units

d. 30 units

QUESTION 9

Read the Answer Report generated by Solver, the difference between the right- and left-hand sides of the fabrication labor constraint is ________.

a.10.5 units

b. 0 units

c. 47.25 units

d. 5.25 units

QUESTION 10

The optimal values of the decision variables will change if the ________.

a. unit profit for swivel chairs either increases by more than 45 or decreases by more than 21

b. unit profit for swivel chairs either increases by more than 80 or decreases by more than 20

c. unit profit for no-swivel chairs either increases by more than 45 or decreases by more than 21

d. unit profit for no-swivel chairs either increases by more than 20 or decreases by more than 180

QUESTION 11

What is the allowable decrease per unit of swivel chair produced?

a. $13.33

b. $42

c. $47.25

d. $120.75

QUESTION 12

In the finishing constraint, the shadow price of 45 indicates ________.

a. that if there are 45 additional hours of finishing available, then the total profit will change by $1

b. that if an additional hour of finishing time is available, then the total profit will change by $45

c. that if the allowable decrease 42 changes to 43, then the total profit will decrease by $45

d. that if the allowable decrease 42 changes to 41, then the total profit will increase by $45

QUESTION 13

If the limitation in the finishing department is changed to 43 labor hours, the total profit ________.

a. will increase by $45

b. will decrease by $5

c. will decrease by $45

d. will increase by $5

QUESTION 14

If 7.2 additional hours of finishing time were available, the profit would change by ________.

a. $45

b. $324

c. $369

d. $450

QUESTION 15

If two workers in the finishing department were ill for a day and could not report to work, the overall profit will reduce by ________.

a. $315

b. $1,260

c. $180

d. $630

QUESTION 16

If a worker in the finishing department falls ill for a day and is unable to report to work, the overall profit will reduce by ________.

a. $1,260

b. $1801

c. $315

d. $630