Use Lagrange Multipliers to Find the Maximum and Minimum Values

question 71

Multiple Choice

Use Lagrange multipliers to find the maximum and minimum values of subject to .

• A) The maximum value is 0, and there is no minimum value.
• B) The maximum value is , and the minimum value is
• C) The maximum value is , and the minimum value is
• D) The maximum value is , and the minimum value is
• E) There is no maximum value, and the minimum value is 0.

---

Definitions:

Working Capital

Current assets less current liabilities.

Current Ratio

A financial metric that measures a company's ability to pay off its short-term liabilities with its short-term assets.

Marketable Securities

Short-term investments that are easily convertible into cash, typically within one year.

Debt-to-Equity Ratio

A financial ratio indicating the relative proportion of shareholders' equity and debt used to finance a company's assets, crucial for assessing financial leverage.