BUS 461 WEEK 2 QUIZ

BUS 461 WEEK 2 QUIZ
Question 1		The principle of complementary slackness implies that

 	 	  If the reduced cost is not zero, than the value of the 
decision variable is zero.
 			  If a decision variable is zero, then its reduced cost must be positive.
 			  if a decision variable is zero, then its reduced cost must be non-zero.
 			  if a decision variable is zero, then its reduced cost must be zero.



 	

Question 2.	Question :	Excel Solver reports “Solver could not find a feasible solution.” What is your best logical alternative?

	  Change the objective function.

 			  Run Excel Solver again.

 		 	  Relax a constraint.
 
 			  Add a constraint.



 	


Question 3.	Question :	Which of the following is not a necessary linear programming assumption?

 	  The decision variable values are discrete.

 			  The parameters are specified with certainty.

 		 	  Constant returns to scale in the linear constraints and the object function coefficients.
 			  No interactions permitted between decision variables.



 	


Question 4.	Question :	A non-binding constraint is always a redundant constraint.
 	  True
 		 	  False

				



Question 5.	Question :	Binary linear programming allows for the possibility of mutually exclusive constraints.
 	  True
 		 	  False

				

 	

Question 6.	Question :	When specifying linear constraints, the modeler must take into account the unit specification of the decision variables so that the units represented by the left side of the constraints are consistent with the units represented by the right side of the constraints.
 	  True
 			  False

				




Question 7.	Question :	Linear programming and integer linear programming both yield a great amount of sensitivity analysis.

 		  True
 		 	  False

				

 	


Question 8.	Question :	Banner Tools produces two styles of steel hammers with wooden handles. The first sells for $6 and consists of .5 pounds of steel; the second sells for $15 and consists of 1 pound of steel. Since steel costs the firm $4 per pound and the handle, labor, and packaging costs amount to $1 for either hammer, the profits coefficients are $6 - .5($4) - $1 = $3 for the smaller hammer and $15 - 1($4) - $1 = $10 for the larger hammer. Thus the objective function for this model is MAX 3X1 + 10X2. Given that the shadow price for steel is $2, which of the following statements is correct?

 			  Banner should not buy more steel.

 			  Banner should buy all the steel it can only if it can purchase it for less than $2 per pound.
 			  Banner should buy at least as much as the “ALLOWABLE INCREASE”, but only if it can be purchased for less than $2 per pound.
 		 	  Banner should buy at least as much as the “ALLOWABLE INCREASE”, but only if it can be purchase for less than $6 per pound.


 	


Question 9.	Question :	A “non-binding” constraint is:

 	 	  redundant.

 		 	  not satisfied with an equality at the optimal solution.

 			  one having zero slack or surplus

 			  never a non-negativity variable constraint.



 	


Question 10.	Question :	Minimization linear programming models may not involve constraints.
	  True
 		 	  False