A Company Is Developing a Linear Programming Model for Its

question 44

Multiple Choice

A company is developing a linear programming model for its aggregate production plan. If W_t = workforce size for period t, H_t = number of workers hired for period t, and F_t = number of workers fired for period t, then the company's workforce constraint for period 2 is

• A) W₂ = W₁ + F₂ - H₂.
• B) W₂ = H₂ - F₂.
• C) W₂ = W₁ + H₂ - F₂.
• D) W₂ = H₂ - F₂ - W₁.

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Definitions:

Laspeyres Price Index

An economic index that calculates the change in the price level of a basket of goods and services based on the prices and quantities consumed in a base period.

Consumptions

The process of using goods and services to satisfy wants or needs, often measured as an important component of economic activity.

Base Year

A base year is a specific year against which economic growth is measured, often used as a reference point for the calculation of index numbers.

Initial Endowment

The initial quantity of goods, services, wealth, or resources that an individual or entity possesses.