Consider the Following Linear Programming Problem: Maximize 40 X1

question 92

Multiple Choice

Consider the following linear programming problem: Maximize 40 X1 + 30 X2 + 60X3
Subject to: X1 + X2 + X3 ≥ 90
12 X1 + 8 X2 + 10 X3 ≤ 1500
X1 = 20
X3 ≤ 100
X1 , X2 , X3 ≥ 0
How many slack, surplus, and artificial variables would be necessary if the simplex algorithm were used to solve this problem?

• A)3 slack, 6 surplus, and 6 artificial
• B)2 slack, 1 surplus, and 2 artificial
• C)1 slack, 2 surplus, and 2 artificial
• D)1 slack, 2 surplus, and 1 artificial

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Definitions:

Risky Asset

An investment that holds a degree of uncertainty regarding its returns or principal amount.

Non-Risky Asset

A financial asset with a guaranteed or highly predictable return rate, such as government bonds.

Expected Return

The anticipated gain or loss for an investment over a given period, often expressed as a percentage.

Standard Deviation

A gauge for the degree of spread or discrepancy in a series of data points.