For a Minimization Problem, If a Decision Variable's Final Value

question 39

Multiple Choice

For a minimization problem, if a decision variable's final value is 0, and its reduced cost is negative, which of the following is true?

• A) Alternate optimal solutions exist.
• B) There is evidence of degeneracy.
• C) No feasible solution was found.
• D) The variable has a non-negativity constraint.

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Definitions:

Residual Value

The estimated worth or salvage value of an asset at the end of its useful life.

Net Income

The total profit of a company after all expenses, including taxes and operational expenses, have been deducted from total revenue; essentially, it's the bottom line of the income statement.

Average Rate

A term often used in finance to describe the mean rate of return or the mean rate of interest over a specified period.

Fixed Asset

Fixed asset, also known as a non-current asset, is a long-term tangible piece of property or equipment that a firm owns and uses in its operations to generate income.