Which of the Following Statements Is Correct

question 93

Multiple Choice

Which of the following statements is correct?

• A) Given a Linear Program with a maximization objective, the optimal objective function value may increase if a ≥ constraint is added to the program.
• B) Given a Linear Program with a maximization objective, the optimal objective function value may increase if a ≤ constraint is added to the program.
• C) Given a Linear Program with a minimization objective, the optimal objective function value cannot increase if a ≥ constraint is added to the program.
• D) Given a Linear Program with a minimization objective, the optimal objective function value cannot increase if a ≤ constraint is added to the program.
• E) Given a Linear Program with a maximization objective, the optimal objective function value may decrease if a ≥ constraint is added to the program.

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Definitions:

Tax Rates

Percentages at which income, property, or sales are taxed by the government.

Required Rate

The minimum return that investors demand for investing in a specific asset or undertaking a project.

Risk Premium

The additional return an investor expects to receive from an investment by taking on a higher level of risk.

Risk-Free Interest

Risk-free interest is the theoretical rate of return of an investment with zero risk, serving as a benchmark for evaluating the risk and return of other investments.