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A Shadow Price Reflects Which of the Following in a Maximization

Question 32

Multiple Choice

A shadow price reflects which of the following in a maximization problem?


A) The marginal cost of adding additional resources
B) The marginal gain in the objective that would be realized by adding one unit of a resource
C) The net gain in the objective that would be realized by adding one unit of a resource
D) The marginal gain in the objective that would be realized by subtracting one unit of a resource
E) Assessing the impact of potential changes of the parameters (numerical values) of an LP model on its optimal solution.

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