Multiple Choice
When the primal LP problem is to maximize revenue subject to various input constraints, the shadow prices of inputs in the dual constraints:
A) equal the marginal revenue product of each input.
B) are positive for inputs with excess capacity.
C) equals zero for fully utilized inputs.
D) equal the marginal product of each input.
Correct Answer:
Verified
Correct Answer:
Verified
Q3: Unit costs are always constant if:<br>A) input
Q4: Combinations of products that generate the same
Q5: When the costs of all inputs rise
Q6: For costs to be a linear function
Q7: When the objective function coincides with the
Q9: Slack variables:<br>A) allow constraint equations to be
Q10: If the capital slack variable = 0,
Q11: If X > 0 in the primal
Q12: Constrained profit maximization requires:<br>A) no excess capacity.<br>B)
Q13: If the objective function is to maximize