Question: e . If you could change ( increase or decrease ) the RHS of one of the constraints by one unit only to improve the
e If you could change increase or decrease the RHS of one of the constraints by one unit only to improve the
objective value remember cost is being minimized, so improving means reduction in cost which constraint
would you select? Why?
f Interpret the ranges of the objective function coefficients. Explain what those ranges are for, and what
happens to the optimal solution and optimal objective value when the objective coefficient changes but remains
within those ranges.
g Suppose that the cost per unit for purchasing part B increases to $ What is the new optimal solution?
What is the new optimal objective value?
h What are the signs or of each of the constraints? Note that the details of the model are not given to
you, and you need to ignore the storyline and try to answer this question using the sensitivity report. Hint: think
about the sign or of shadow price and whether one unit of increase in RHS improves or worsens the
objective value remember we are minimizing the cost, and smaller cost is better Then based on that, think
about whether the constraint is being relaxed or tightened when RHS increases by one unit, and from there
conclude its sign or
i Suppose the RHS of Labour Time constraint decreases by units. Will the optimal solution change? What is
the new optimal objective value?
j The unit costs of part A for both purchasing and manufacturing are increased by $ Can you compute the
new objective value using the sensitivity report? Why?
k If the per unit cost of manufacturing part B decreases to $ what is the change in the optimal objective
value?
l How many parts of type A are we getting in total?
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