The Branch & Bound Algorithm Stops When

question 32

Multiple Choice

The branch & bound algorithm stops when:

• A) the current best solution cannot be improved
• B) the set of candidate problems to evaluate is not empty
• C) the LP relaxation produced an integer solution
• D) the LP relaxation produced a continuous solution

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Definitions:

Spot Exchange Rates

The contemporary exchange rate for buying or selling a currency with immediate effect.

Interest Rate Parity

A financial theory which posits that the difference between the interest rates of two countries is equal to the expected change in exchange rates between the countries’ currencies.

Absolute Purchasing Power Parity

A theory stating that price levels between two countries should be equivalent, when expressed in a common currency, meaning the exchange rate between two currencies should equal the ratio of the countries' price levels.

Exchange Rate

The exchange rate specifies how much one currency can be traded for another, reflecting the relative values between them.