Linear Programming in Two Dimensions: II (UMAP)

With this unit, the student will understand the nature of sensitivity analysis by investigating the ways in which the graphical solution of a linear programming problem is altered by the changes in various paremeters.

Table of Contents:

1. INTRODUCTION

2. SENSITIVITY ANALYSIS
2.1 Binding and Nonbinding Constraints
2.2 Shadow Prices
2.3 Limits of Shadow Prices
2.4 Determining the Right-Hand Side Ranges
2.5 Range for Objective Function Coefficients

3. CONCLUSION

5. ANSWERS TO EXERCISES

6. ANSWERS TO SAMPLE EXAM