In a Minimization Problem, a Positive Improvement Index in a Cell

question 40

Multiple Choice

In a minimization problem, a positive improvement index in a cell indicates that:

• A) the solution is optimal.
• B) the total cost will increase if units are reallocated to that cell.
• C) there is degeneracy.
• D) the total cost will decrease if units are reallocated to that cell.
• E) the problem has no feasible solution.

---

Definitions:

Coconuts

Tropical fruits with a hard shell, edible flesh, and a clear liquid inside, often used in food and beverages.

Equilibrium Price

The price at which the quantity of a good or service demanded equals the quantity supplied, achieving market balance.

Inverse Demand Function

A mathematical representation showing how price adjusts based on the quantity demanded by consumers.

Tax Imposed

A compulsory financial charge or levy placed by a governmental organization on individuals, entities, or transactions.