Part I:$\frac{T}{F}$ and Multiple Choice $-$ For all these questions, there $is$ only one correct answer.

$1.TF$ The profit below the breakeven point $is$ negative.

$2.TF$ Breakeven analysis determines the profit$-$maximizing volume.

$3.TFIn$ stochastic models, all components $of$ the model are known with certainty.

$4.TFItis$ not possible $to$ have more than one optimal solution for a linear

programming problem.

$5.TF$ Changing the right$-$hand side $of$ a constraint changes its slope.

$6.TF$ Adding more constraints $toaLP$ model may improve the optimal objective

value.

$7.TF$ Nonzero shadow prices are associated with nonbinding constraints and show

the nonzero change $in$ the optimal objective function value when the right side

$of$ the constraint equation changes $by$ one unit.

$8.TF$ Suppose the allowable increase and decrease for $an$ objective coefficient $ofa$

decision variable that has a current value $of$ $$50$ are $$25(increase)$ and $$10$

$(decrease).If$ the coefficient were $to$ change from $$50to$ $$65$ and all other

coefficients were held constant, the optimal value $of$ the objective function

would not change.

$9.TF$ Suppose the allowable increase and decrease for $an$ objective coefficient $ofa$

decision variable that has a current value $of$ $$50$ are $$25(increase)$ and $$10$

$(decrease).If$ the coefficient were $to$ change from $$50to$ $$65$ and all other

coefficients were held constant, the optimal solution would not change.

$10.TF$ Suppose the allowable increase and decrease for shadow price for a constraint

are $$25(increase)$ and $$10(decrease).If$ the right$-$hand side $of$ that constraint

were $to$ increase $by$ $$10,$ the optimal value $of$ the objective function would

change