A Linear Programming Problem Contains a Restriction That Reads "The

question 68

Multiple Choice

A linear programming problem contains a restriction that reads "the quantity of S must be no less than one-fourth as large as T and U combined." Formulate this as a linear programming constraint.

• A) S / (T + U) ≥ 4
• B) S - .25T - .25U ≥ 0
• C) 4S ≤ T + U
• D) S ≥ 4T / 4U
• E) S ≥ .25T + S ≥ .25U

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Definitions:

Discounted Present Value

A method of valuing a future amount of money by applying a discount rate to adjust for time and risk.

Time Period

A specific duration for which economic data is measured or observations made.

Time-Value

The idea that having money now is more valuable than having the same sum in the future because of the potential to earn more over time.

Discounting

The process of determining the present value of a payment or a stream of payments that is to be received in the future.