Question 19.B

Choose from the multiple choice. Any work shown is much appreciated.

The Bradley family owns 410 acres of farmland in North Carolina on which they grow corn and tobacco. Each acre of corn costs $105 to plant, cultivate, and harvest; each acre of tobacco costs $210. The Bradleys have a budget of $52,500 for next year. The government limits the number of acres of tobacco that can be planted to 100. The profit from each acre of corn is $300; the profit from each acre of tobacco is $520. 19 Solve the linear programming model formulated in problem 17 for the Bradley farm using the computer. b. The Bradleys are considering taking out a loan to increase their budget. For each dollar they borrow, how much additional profit would they make? If they borrowed an additional $1,000, would the number of acres of corn and tobacco they plant change? Ch3, problem 19, part b: Select the best answer to the question that is presented in the text. The shadow price for the budget is $2.095. Thus for every $2 borrowed they could expect a profit increase of $2.095. If they borrowed $1,000 it would not change the amount of corn and tobacco they plant (i e. optimal solution would not change) since the sensitivity range for budget has a maximum value of $52,550. The shadow price for the budget is $2.095. Thus for every $1 borrowed they could expect a profit increase of $1.095. If they borrowed $1,000 it would not change the amount of corn and tobacco they plant (i.e. optimal solution would not change) since the sensitivity range for budget has a maximum value of $55,550. The shadow price for the budget is $2.095. Thus for every $2 borrowed they could expect a profit increase of $2.095. If they borrowed $1,000 it would not change the amount of corn and tobacco they plant (i.e. optimal solution would not change) since the sensitivity range for budget has a maximum value of $56.550 The shadow price for the budget is $2.095. Thus for every $1 borrowed they could expect a profit increase of $2.095. If they borrowed $1,000 it would change the amount of corn and tobacco they plant