The Simplex Method Uses Which of the Following Values to Determine

question 16

Multiple Choice

The Simplex method uses which of the following values to determine if the objective function value can be improved?

• A) shadow price
• B) target value
• C) reduced cost
• D) basic cost

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Definitions:

Dividends

Payments made by a corporation to its shareholder members, usually as a distribution of profits.

Common Stock

A type of equity security that represents ownership in a corporation, providing voting rights and a share in the company's profits via dividends.

Book Value Per Share

A financial measure that divides a company's net asset value less any intangible assets and liabilities by the number of outstanding shares.

Par Value

The face value of a security as stated by the issuing company, which may or may not reflect its market value.