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Assume That the Reduced Cost of a Decision Variable Is

Question 20

Multiple Choice

Assume that the reduced cost of a decision variable is -$20 for a maximization problem.This implies that:


A) the objective function value will decrease by $20 if we do not produce any units of this product
B) the objective function value will not change if we produce an additional unit of this product
C) the objective function value will increase by $20 if we produce an additional unit of this product
D) the shadow price value will decrease by $20 if we produce an additional unit of this product
E) the objective function value will decrease by $20 if we produce an additional unit of this product

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