The Solver Sensitivity Report for some profit maximization problem with several constraints including x1<=400 and x2<=1200 looks like as below. What conclusion is not correct? Final Reduced Objective Allowable Allowable Cell Name Value Cost Coefficient Increase Decrease $B$16 x1 400 80 80 1E+30 80 $C$16 x2 1200 129 129 1E+30 129 Final Shadow Constraint Allowable Allowable Cell Name Value Price R.H. Side Increase Decrease Resource1 $B$21 9200 0 10000 1E+30 800 availability Resource2 $B$22 2800 0 3000 1E+30 200 availability The value of decision variable x1 will stay at 400 unless the profit margin for x1 decreases by at least $80. For this problem, decreasing the availability of resources can impact the optimal value. If the coefficient of x2 stays within -129 to 129+1E+30, the optimal solution does not change at all. For this problem, increasing the availability of resources by 1 unit will not impact the optimal value.

The Solver Sensitivity Report for some profit maximization problem with several constraints including x1<=400 and x2<=1200 looks like as below. What conclusion is not correct? Final Reduced Objective Allowable Allowable Cell Name Value Cost Coefficient Increase Decrease $B$16 x1 400 80 80 1E+30 80 $C$16 x2 1200 129 129 1E+30 129 Final Shadow Constraint Allowable Allowable Cell Name Value Price R.H. Side Increase Decrease Resource1 $B$21 9200 0 10000 1E+30 800 availability Resource2 $B$22 2800 0 3000 1E+30 200 availability The value of decision variable x1 will stay at 400 unless the profit margin for x1 decreases by at least $80. For this problem, decreasing the availability of resources can impact the optimal value. If the coefficient of x2 stays within -129 to 129+1E+30, the optimal solution does not change at all. For this problem, increasing the availability of resources by 1 unit will not impact the optimal value.

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter2: Introduction To Spreadsheet Modeling

Section: Chapter Questions

Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...

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