Applying the 100% rule, 100%. + because the total change in the objective function coefficients ◆

Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter2: Introduction To Spreadsheet Modeling
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Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...
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Based on the following sensitivity report, what would be the impact of changing the objective function coefficient for Product_1 to 12 and changing the
objective function coefficient for Product_3 to 12?
Variable Cells
Cell Name Final Value Reduced Cost Objective Coefficient
$B$2 Product_10
$B$3 Product_2175
$B$4Product_30
Constraints
Cell Name
$H$9 Resource_A0
$H$10 Resource_B 525
$H$11 Resource_C700
-2
0
-1.5
Applying the 100% rule,
100%.
Final Value Shadow Price Constraint R.H.Side
0
10
ho
8
0
1.75
100
800
700
Allowable Allowable
Increase Decrease
1E+30
14
1E+30
15
1E+30
6
Allowable
Increase
1E+30
1E+30
Allowable
Decrease
100
275
366.6666667700
◆ because the total change in the objective function coefficients
Transcribed Image Text:Based on the following sensitivity report, what would be the impact of changing the objective function coefficient for Product_1 to 12 and changing the objective function coefficient for Product_3 to 12? Variable Cells Cell Name Final Value Reduced Cost Objective Coefficient $B$2 Product_10 $B$3 Product_2175 $B$4Product_30 Constraints Cell Name $H$9 Resource_A0 $H$10 Resource_B 525 $H$11 Resource_C700 -2 0 -1.5 Applying the 100% rule, 100%. Final Value Shadow Price Constraint R.H.Side 0 10 ho 8 0 1.75 100 800 700 Allowable Allowable Increase Decrease 1E+30 14 1E+30 15 1E+30 6 Allowable Increase 1E+30 1E+30 Allowable Decrease 100 275 366.6666667700 ◆ because the total change in the objective function coefficients
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