For the Products A, B, C, and D, Which of the Following

question 11

Multiple Choice

For the products A, B, C, and D, which of the following could be a linear programming objective function?

• A)Z = 1 A + 2 B + 3 C + 4 D
• B)Z = 1 A + 2 BC + 3 D
• C)Z = 1 A + 2 AB + 3 ABC + 4 ABCD
• D)Z = 1 A + 2 B ÷ C + 3 D
• E)Z = 1 A + 2 B − 1 CD

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Definitions:

Annual Expenses

The total amount of money spent or costs incurred by a business or individual in a one-year period.

Capital Budgeting

The process by which an organization evaluates and selects long-term investments that are in line with their goal of wealth maximization.

Long-term Decisions

Decisions that impact an organization over an extended period, usually beyond one year, involving investments, strategic direction, and structural changes.

Discount Rate

The interest rate used in discounted cash flow analysis to determine the present value of future cash flows or investments.