Question

) Consider the linear program in Problem 1. The value of the optimal solution is 27. Suppose that the right-hand side for constraint 1 is increased from 10 to 11.

a. Use the graphical solution procedure to find the new optimal solution.

b. Use the solution to part (a) to determine the shadow price for constraint 1.

c. The sensitivity report for the linear program in Problem 1 provides the following right- hand-side range information:

Constraint	Constraint R.H side	Allowable Increase	Allowable Decrease
1	10,000	1,200	2000
2	24,000	6,000	6,000
3	16,000	Infinite	3,000

What does the right-hand-side range information for constraint 1 tell you about the shadow price for constraint 1?

D). The shadow price for constraint 2 is 0.5. Using this shadow price and the right-hand- side range information in part (c), what conclusion can you draw about the effect of changes to the right-hand side of constraint 2?

Answer 1

Thanks.