2-1
Copyright 2013 Pearson Education, Inc. publishing as Prentice Hall
b) b)
x2
A: x1 = 0 *A :x1 = 0
x2
12 x2 = 2.5 x2 = 8
Z = 15 12 Z = .24
10
B: x1 = 3.1 B :x1 = 12/5
10
8 x2 = 1.33 x2 = 24/5
Z = 38.98 A
8 Z = .26
6
*C: x1 = 4 optimal C :x1 = 12
x2 = 0 6
4 B x2 = 0
Z = 40
A 4 Z = .60
2 B
Point A is optimal
2 Z
C x1
0 2 4 6 8 10 12 14 C
x1
0 2 4 6 8 10 12 14
2. a) Maximize Z = 6x1 + 4x2 (profit, $)
subject to 4. The optimal solution point would change
10x1 + 10x2 100 (line 1, hr) from point A to point B, thus resulting in
7x1 + 3x2 42 (line 2, hr) the optimal solution
x1,x2 0 x1 = 12/5 x2 = 24/5 Z = .408
b) 5. a) Minimize Z = 3x1 + 5x2 (cost, $)
x2 subject to
A :x1 = 0
10x1 + 2x2 20 (nitrogen, oz)
14 x2 = 10
Z = 40 6x1 + 6x2 36 (phosphate, oz)
12 *B :x1 = 3
x2 2 (potassium, oz)
A x2 = 7 x1,x2 0
10
Z = 46 b)
8 C :x1 = 6 x2
B A :x1 = 0
x2 = 0
6 12 x2 = 10
Z = 36
A Z = 50
4 10
Z B :x1 = 1
Point B is optimal x2 = 5
2 8
C Z = 28
x1 6
0 2 4 6 8 10 12 14 *C :x1 = 4
B
3. a) Minimize Z = .05x1 + .03x2 (cost, $) 4 x2 = 2
subject to Z = 22
2
8x1 + 6x2 48 (vitamin A, mg) C Point C is optimal
x1 + 2x2 12 (vitamin B, mg) Z
x1
0 2 4 6 8 10 12 14
x1,x2 0
6. a) Maximize Z = 400x1 + 100x2 (profit, $)
subject to
8x1 + 10x2 80 (labor, hr)
2x1 + 6x2 36 (wood)
x1 6 (demand, chairs)
x1,x2 0
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Copyright 2013 Pearson Education, Inc. publishing as Prentice Hall
b) b)
x2 x2 *A :x1 = 0
A :x1 = 0 * C :x1 = 6
12 12 x2 = 4
x2 = 6 x2 = 3.2
Z = 600 Z = 2,720
Z = 20
10 10
B :x1 = 30/7 D :x1 = 6 B :x1 = 2
8 x2 = 32/7 x2 = 0 x2 = 3
8
A Z = 2,171 Z = 2,400 Z = 17
6
B 6 C :x1 = 5
4 A
C Point C is optimal x2 = 0
4 B
2 Z Z=5
D 2 Point A is optimal
x1 Z
0 2 4 6 8 10 12 14 16 18 C
x1
7. In order to solve this problem, you must 0 2 4 6 8 10 12 14
substitute the optimal solution into the 10. In order to solve this problem, you must
resource constraint for wood and the substitute the optimal solution into the
resource constraint for labor and resource constraints for flour and sugar
determine how much of each resource and determine how much of each
is left over. resource is left over.
Labor Flour
8x1 + 10x2 80 hr 5x1 + 5x2 25 lb
8(6) + 10(3.2) 80 5(0) + 5(4) 25
48 + 32 80 20 25
80 80 25 20 = 5
There is no labor left unused. There are 5 lb of flour left unused.
Wood Sugar
2x1 + 6x2 36 2x1 + 4x2 16
2(6) + 6(3.2) 36 2(0) + 4(4) 16
12 + 19.2 36 16 16
31.2 36
There is no sugar left unused.
36 31.2 = 4.8
11.
There is 4.8 lb of wood left unused.
x2 *A :x1 = 0
8. The new objective function, Z = 400x1 + x2 = 9
12
500x2, is parallel to the constraint for
Z = 54
labor, which results in multiple optimal 10 A
solutions. Points B (x1 = 30/7, x2 = 32/7) B :x1 = 4
and C (x1 = 6, x2 = 3.2) are the alternate 8 x2 = 3
optimal solutions, each with a profit of Z = 30
$4,000. 6 C :x1 = 4
x2 = 1
9. a) Maximize Z = x1 + 5x2 (profit, $) 4
subject to B Z = 18
2 Point A is optimal
5x1 + 5x2 25 (flour, lb) Z C
2x1 + 4x2 16 (sugar, lb) x1
0 2 4 6 8 10 12
x1 5 (demand for cakes)
x1,x2 0 12. a) Minimize Z = 80x1 + 50x2 (cost, $)
subject to
3x1 + x2 6 (antibiotic 1, units)
x1 + x2 4 (antibiotic 2, units)
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2x1 + 6x2 12 (antibiotic 3, units) 15. a) Optimal solution: x1 = 4 necklaces, x2 = 3
x1,x2 0 bracelets. The maximum demand is not
achieved by the amount of one bracelet.
b)
b) The solution point on the graph which
x2
A : x1 = 0 C : x1 = 3 corresponds to no bracelets being
12 x2 = 6 x2 = 1 produced must be on the x1 axis where x2 =
Z = 300 Z = 290 0. This is point D on the graph. In order
10 * B : x1 = 1 D : x1 = 6 for point D to be optimal, the objective
x2 = 3 x2 = 0 function slope must change such that it
8 Z = 230 Z = 480 is equal to or greater than the slope of the
A constraint line, 3x1 + 2x2 = 18.
6
Transforming this constraint into the form
4 y = a + bx enables us to compute the
B
slope:
2 Point B is optimal
C 2x2 = 18 3x1
Z D x1 x2 = 9 3/2x1
0 2 4 6 8 10 12 14
From this equation the slope is 3/2.
13. a) Maximize Z = 300x1 + 400x2 (profit, $) Thus, the slope of the objective function
subject to must be at least 3/2. Presently, the slope
of the objective function is 3/4:
3x1 + 2x2 18 (gold, oz)
400x2 = Z 300x1
2x1 + 4x2 20 (platinum, oz)
x2 = Z/400 3/4x1
x2 4 (demand, bracelets)
x1,x2 0 The profit for a necklace would have to
increase to $600 to result in a slope of 3/2:
b)
400x2 = Z 600x1
x2
A: x1 = 0 *C: x1 = 4 x2 = Z/400 3/2x1
12 x2 = 4 x2 = 3
Z = 1,600 Z = 2,400
However, this creates a situation where
10 both points C and D are optimal, ie.,
B: x1 = 2 D: x1 = 6 multiple optimal solutions, as are all
8 x2 = 4 x2 = 0 points on the line segment between
Z = 2,200 Z = 1,800 C and D.
6
16. a) Maximize Z = 50x1 + 40x2 (profit, $)
A B subject to
4
C
Point C is optimal
3x1 + 5x2 150 (wool, yd2)
2
Z 10x1 + 4x2 200 (labor, hr)
D x1 x1,x2 0
0 2 4 6 8 10 12 14
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Copyright 2013 Pearson Education, Inc. publishing as Prentice Hall
17. The feasible solution space changes from 19. a) No, not this winter, but they might after
the area 0ABC to 0AB'C', as shown on the they recover equipment costs, which
following graph. should be after the 2nd winter.
x2 b) x1 = 55
60 x2 = 16.25
50
Z = 1,851
40 No, profit will go down
A c) x1 = 40
30
B x2 = 25
20 B
Z = 2,435
Z
10
Profit will increase slightly
C C
x1 d) x1 = 55
0 10 20 30 40 50 60 70
x2 = 27.72
The extreme points to evaluate are now
A, B', and C'. Z = $2,073
A: x1 = 0 Profit will go down from (c)
x2 = 30 20.
Z = 1,200 x2
*B': x1 = 15.8 A : x1 = 0
12
x2 = 20.5 x2 = 5
10 Z=5
Z = 1,610
* B : x1 = 4
C': x1 = 24 8 x2 = 1
x2 = 0
Z=7
Z = 1,200 6
A C : x1 = 4
Point B' is optimal 4 x2 = 0
18. a) Maximize Z = 23x1 + 73x2 Z=6
2
subject to B Point B is optimal
Z C
x1 40 x1
0 2 4 6 8 10 12 14
x2 25
21. Maximize Z = 1.5x1 + x2 + 0s1 + 0s2 + 0s3
x1 + 4x2 120
subject to
x1,x2 0
x1 + s1 = 4
b) x2 + s2 = 6
x2
100
x1 + x2 + s3 = 5
x1,x2 0
90
A: s1 = 4, s2 = 1, s3 = 0
80 B: s1 = 0, s2 = 5, s3 = 0
70
C: s1 = 0, s2 = 6, s3 = 1
22.
60
x2
A :x1 = 0
50 12
x2 = 10
A Z = 80
10
40 * B :x1 = 8
C optimal,
x1 = 40 8 x2 = 5.2
30 x2 = 20 Point B is optimal Z = 81.6
B
A Z = 2,380 6
C C :x1 = 8
20 4 B x2 = 0
Z Z = 40
10 2
C
D x1
x1 0 2 4 6 8 10 12 14 16 18 20
0 10 20 30 40 50 60 70 80 90 100 110 120
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Copyright 2013 Pearson Education, Inc. publishing as Prentice Hall
23. Maximize Z = 5x1 + 8x2 + 0s1 + 0s3 + 0s4 27. Changing the pay for a full-time claims
subject to processor from $64 to $54 will change the
3x1 + 5x2 + s1 = 50 solution to point A in the graphical
2x1 + 4x2 + s2 = 40 solution where x1 = 28.125 and x2 = 0, i.e.,
x1 + s3 = 8 there will be no part-time operators.
x2 + s4 = 10 Changing the pay for a part-time operator
from $42 to $36 has no effect on the
x1,x2 0
number of full-time and part-time
A: s1 = 0, s2 = 0, s3 = 8, s4 = 0 operators hired, although the total cost will
B: s1 = 0, s2 = 3.2, s3 = 0, s4 = 4.8 be reduced to $1,671.95.
C: s1 = 26, s2 = 24, s3 = 0, s4 = 10
28. Eliminating the constraint for defective
24. claims would result in a new solution,
x2 x1 = 0 and x2 = 37.5, where only part-time
16 A :x1 = 8 operators would be hired.
x2 = 6
14 Z = 112
29. The solution becomes infeasible; there
*B :x1 = 10
are not enough workstations to handle the
12 increase in the volume of claims.
x2 = 5
10 Z = 115 30.
C :x1 = 15
8 x2
x2 = 0 A : x1 = 2
6 Z = 97.5 12 Point B is optimal x2 = 6
A B
Z Point B is optimal Z = 52
4 10 * B : x1 = 4
2 x2 = 2
8
C Z = 44
x1 A
0 2 4 6 8 10 12 14 16 18 20 6 C : x1 = 6
x2 = 0
25. It changes the optimal solution to point A 4
Z = 48
(x1 = 8, x2 = 6, Z = 112), and the constraint,
2 B
x1 + x2 15, is no longer part of the Z
solution space boundary. C
x1
6 4 2 0 2 4 6 8 10 12
26. a) Minimize Z = 64x1 + 42x2 (labor cost, $)
subject to 31.
16x1 + 12x2 450 (claims) x2 A :x1 = 2.67
x1 + x2 40 (workstations) x2 = 2.33
12
0.5x1 + 1.4x2 25 (defective claims) Point C is optimal Z = 22
x1,x2 0 10 B :x1 = 4
(1) x2 = 3
b) 8 Z = 30
(4)
x2 *C :x1 = 4
50 6 (3)
x2 = 1
45 (2) Z = 18
A : x1 = 28.125 C : x1 = 5.55 4
x2 = 0 x2 = 34.45
D D :x1 = 3.36
40 A B
Z = 1,800 Z = 2,437.9
2 x2 = 3.96
35 *B : x1 = 20.121 D : x1 = 40 C Z = 33.84
(5)
x2 = 10.670 x2 = 0
30 Z = 2,560
x1
Z = 1,735.97 0 2 4 6 8 10 12
25
Point B is optimal 32. The problem becomes infeasible.
20
15
10 B
C
5
A D
x1
0 5 10 15 20 25 30 35 40 45 50
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Copyright 2013 Pearson Education, Inc. publishing as Prentice Hall
33. 36. a) Maximize Z = $4.15x1 + 3.60x2 (profit, $)
x2 subject to
*A :x1 = 4.8
12 x2 = 2.4
x1 + x2 115 (freezer space, gals.)
10
Z = 26.4 0.93 x1 + 0.75 x2 90 (budget, $)
B :x1 = 6 x1 2
8 x2 = 1.5 or x1 2 x2 0 (demand)
x2 1
Z = 31.5
6
x1 ,x2 0
4
A b)
Point A is optimal x2
2 Feasible
space B 120
x1
0 2 4 6 8 10 12 14 *A : x1 = 68.96 B : x1 = 96.77
100
x2 = 34.48 x2 = 0
34.
Z = 410.35 Z = 401.6
x2
80 Point A is optimal
12 A :x1 = 4
x2 = 3.5
10 Z = 19
60
*B :x1 = 5
8
x2 = 3
6 Z = 21
40
A C :x1 = 4 A
4
B x2 = 1
2 Z = 14
20
0 C
x1
10 8 6 4 2 2 4 6 8 10 12 B
2 x1
Point B is optimal 0 20 40 60 80 100 120
4
37. No additional profit, freezer space is not
6 a binding constraint.
8 38. a) Minimize Z = 200x1 + 160x2 (cost, $)
subject to
35.
6x1 + 2x2 12 (high-grade ore, tons)
x2
2x1 + 2x2 8 (medium-grade ore, tons)
12 *A : x1 = 3.2 4x1 + 12x2 24 (low-grade ore, tons)
x2 = 6
10 x1,x2 0
Z = 37.6
B : x1 = 5.33
b)
8
x2 = 3.33 x2
A
6 Z = 49.3 14 A : x1 = 0 C : x1 = 3
C : x1 = 9.6 x2 = 6 x2 = 1
4 12
x2 = 1.2 Z = 960 Z = 760
B
2 Z = 79.2 *B : x1 = 1 D : x1 = 6
10
x2 = 3 x2 = 0
C
0 x 8 Z = 680 Z = 1,200
2 4 6 8 10 12 14 1
2 Point A is optimal A
6
4 B
2 Point B is optimal
C
D
x1
0 2 4 6 8 10 12 14
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Copyright 2013 Pearson Education, Inc. publishing as Prentice Hall
39. a) Maximize Z = 800x1 + 900x2 (profit, $) The slope of the new objective function
subject to is computed as follows:
2x1 + 4x2 30 (stamping, days) Z = 90x1 + 70x2
4x1 + 2x2 30 (coating, days) 70x2 = Z 90x1
x1 + x2 9 (lots) x2 = Z/70 9/7x1
x1,x2 0 slope = 9/7
b) The change in the objective function not
x2
only changes the Z values but also results
in a new solution point, C. The slope of
14 A :x1 = 3 the new objective function is steeper and
12 x2 = 6 thus changes the solution point.
Z = 7,800 A: x1 = 0 C: x1 = 5.3
10 * B :x1 = 5 x2 = 8 x2 = 4.7
x2 = 5 Z = 560 Z = 806
8
Z = 8,500
B: x1 = 3.3 D: x1 = 8
6 B C :x1 = 6
A x2 = 6.7 x2 = 0
x2 = 3
4 C Z = 766 Z = 720
Z = 7,500
2 Point B is optimal 42. a) Maximize Z = 9x1 + 12x2 (profit, $1,000s)
subject to
x1
0 2 4 6 8 10 12 14 16 4x1 + 8x2 64 (grapes, tons)
40. a) Maximize Z = 30x1 + 70x2 (profit, $) 5x1 + 5x2 50 (storage space, yd3)
subject to 15x1 + 8x2 120 (processing time, hr)
4x1 + 10x2 80 (assembly, hr) x1 7 (demand, Nectar)
14x1 + 8x2 112 (finishing, hr) x2 7 (demand, Red)
x1 + x2 10 (inventory, units) x1,x2 0
x1,x2 0 b)
x2
b)
18 A : x1 = 0 D : x1 = 5.71
x2
x2 = 7 x2 = 4.28
C :x1 = 5.3 16 Z = 84 Z = 102.79
14 A :x1 = 0
x2 = 8 x2 = 4.7 B : x1 = 2 E : x1 = 7
12 14
Z = 560 Z = 488 x2 = 7 x2 = 1.875
Z = 102 Z = 85.5
10 * B :x1 = 3.3 D :x1 = 8 12
*C : x1 = 4 F : x1 = 7
x2 = 6.7 x2 = 0
8 10 x2 = 6 x2 = 0
A Z = 568 Z = 240
Z = 108 Z = 63
6 B 8
Point B is optimal
C
Optimal point
4 A B
6 C
2 D
4
D
x1
0 2 4 6 8 10 12 14 16 18 20 2 E
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Copyright 2013 Pearson Education, Inc. publishing as Prentice Hall
b) Points C and D would be eliminated and b)
a new optimal solution point at x1 = 5.09, 5000
x2 = 5.45, and Z = 111.27 would result. X2
4500
44. a) Maximize Z = .28x1 + .19x2 4000
x1 + x2 96 cans
A: X1 = 2,651.5 B: X1 = 2,945.05
3500 A: X2 = 1,325.8 *AX2 = 1,000
A: Z = 1,683.71 *A Z = $1,704.72
x2
2 3000
Point A is optimal
x1 2500
x1 ,x2 0 2000
b) 1500 A
B
200 1000
X2
180 500
160 0 500 1000 1500 2000 2500 3000 3500 4000 4500 5000
X1
140
47. a) Minimize Z = .09x1 + .18x2
120
A: X1=0 *B: X1=32 subject to
A: X2=96 *A: X2=64
100
A
A: Z=$18.24 *A: Z=$21.12 .46x1 + .35x2 2,000
80
Point B is optimal
x1 1,000
60
B x2 1,000
.91x1 .82x2 = 3,500
40
x1,x2 0
20
6000
subject to 4000
x1 + x2 96 3500
A: X1=1,000
A: X2=3,158.57
*B: X1=2,945.05
*A: X2=1,000
1.5x1 + x2 0 A
A: Z=658.5 *A: Z=445.05
3000
x1,x2 0 Point B is optimal
2500
The solution is x1 = 38.4, x2 = 57.6, and
Z = $19.78 2000
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Copyright 2013 Pearson Education, Inc. publishing as Prentice Hall
b) b)
500 x2 A :x1 = 0 * D :x1 = 21.4
X2
450 120 x2 = 37 x2 = 28.6
Z = 11,100 Z = 17,143
400
100 B :x1 = 7.5 E :x1 = 26
350 A: X1=0 *B: X1=96 C: X1=240
x2 = 37 x2 = 13.3
A: X2=240 *A: X2=192 *A: X2=0 80
300 A: Z=468 *A: Z=590.4 *A: Z=540 Z = 14,100 Z = 14,390
250
Point B is optional 60 C :x1 = 16.7 F :x1 = 26
A
x2 = 33.3 x2 = 0
200 40
B A B Z = 16,680 Z = 10,400
CD
150
20 Point D is optimal
E
100 F x1
50
0 20 40 60 80 100 120 140
C
51. The feasible solution space changes if the
0 50 100 150 200 250 300 350 400 450 500
fertilizer constraint changes to 20x1 +
X1
20x2 800 tons. The new solution space
49. A new constraint is added to the model in is A'B'C'D'. Two of the constraints now
x1 have no effect.
1.5 x2
x2
120
The solution is x1 = 160, x2 = 106.67,
Z = $568 100
500
X2 80
450
60
400 *A: X1=160.07 B: X1=240
A: X2=106.67 *A: X2=0
A: Z=568 *A: Z=540 40 B
350
A
Point A is optimal
300 20
C
250
x1
0 20 D 40 60 80 100 120 140
200
The new optimal solution is point C':
150
A A': x1 = 0 *C': x1 = 25.71
100
x2 = 37 x2 = 14.29
50
Z = 11,100 Z = 14,571
B
0 50 100 150 200 250 300 350 400 450 500
B': x1 = 3 D': x1 = 26
X1 x2 = 37 x2 = 0
50. a) Maximize Z = 400x1 + 300x2 (profit, $) Z = 12,300 Z = 10,400
subject to 52. a) Maximize Z = $7,600x1 + 22,500x2
x1 + x2 50 (available land, acres) subject to
10x1 + 3x2 300 (labor, hr) x1 + x2 3,500
x2/(x1 + x2) .40
8x1 + 20x2 800 (fertilizer, tons)
.12x1 + .24x2 600
x1 26 (shipping space, acres) x1,x2 0
x2 37 (shipping space, acres)
x1,x2 0
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Copyright 2013 Pearson Education, Inc. publishing as Prentice Hall
b) 54. The new solution is
5000
x1 = 106.67
4500 x2 = 266.67
4000 Z = $62.67
3500 If twice as many guests prefer wine to
beer, then the Robinsons would be
3000
approximately 10 bottles of wine short
2500 and they would have approximately 53
A Optimal solution - B
more bottles of beer than they need. The
2000
x 1 = 2100
waste is more difficult to compute. The
1500
B x 2 = 1400 model in problem 53 assumes that the
z = 47,460,000
Robinsons are ordering more wine and
1000
beer than they need, i.e., a buffer, and
500 thus there logically would be some waste,
i.e., 5% of the wine and 10% of the beer.
0 500 1000 1500 2000 2500 3000 3500 4000 4500 5000
x1
However, if twice as many guests prefer
wine, then there would logically be no
53. a) Minimize Z = $(.05)(8)x1 + (.10)(.75)x2 waste for wine but only for beer. This
subject to amount logically would be the waste
5x1 + x2 800 from 266.67 bottles, or $20, and the
5 x1 amount from the additional 53 bottles,
= 1.5 $3.98, for a total of $23.98.
x2
55. a) Minimize Z = 3700x1 + 5100x2
8x1 + .75x2 1,200 subject to
x1, x2 0
x1 + x2 = 45
x1 = 96
x2 = 320 (32x1 + 14x2) / (x1 + x2) 21
Z = $62.40 .10x1 + .04x2 6
b) x1
.25
x2 ( x1 + x2 )
1600
x2
1500 .25
( x1 + x2 )
1400
x1, x2 0
1300
b)
1200
x2
1100 50
1000 45
900
40
800
35
700 x1 = 17.5
30 x2 = 27.5
600 Z = $205,000
25
500
20
400 A B optimal,
B x1 = 96 15
300 x2 = 320
Z = 62.40 10
200
100
5
C
x x1
0 100 200 300 400 500 600 700 800 900 1000 1 0 5 10 15 20 25 30 35 40 45 50
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Copyright 2013 Pearson Education, Inc. publishing as Prentice Hall
56. a) No, the solution would not change X2
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Copyright 2013 Pearson Education, Inc. publishing as Prentice Hall
b) Solution: 62.
x1 = 87.3 cups x2
x2 = 130.9 cups 80 *A :x1 = 0 C :x1 = 33.33
Z = $421.09 x2 = 60 x2 = 6.67
70 Z = 60,000 Z = 106,669
X2
1000 A *B :x1 = 10 D :x1 = 60
60
x2 = 30 x2 = 0
50 Z = 60,000 Z = 180,000
800
40
30
B
600
20 Multiple optimal solutions; A
and B alternate optimal.
A :x1 = 87.3 10 C
400 x2 = 130.9 D
x1
Z = 421.09 0 10 20 30 40 50 60 70 80
60
50
40
30
20
10
x1
20 10 0 10 20 30 40 50 60 70 80
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Copyright 2013 Pearson Education, Inc. publishing as Prentice Hall
CASE SOLUTION: METROPOLITAN The graphical solution is shown as
follows.
POLICE PATROL
x2
2x + 2y 12 C :x1 = 6
40 x2 = 54
y 1.5x Z = $744
x, y 0 30
A Optimal point
20 .90 x2 .10 x1 0
The objective function coefficients are B
determined by dividing the distance 10 .25 x1 + .50 x2 20
C
traveled, i.e., x/3, by the travel speed, i.e., x1
20 mph. Thus, the x coefficient is x/3 0 10 20 30 40 50 60 70 80 100
20, or x/60. In the first two constraints, Changing the objective function to
2x + 2y represents the formula for the Z = $16x1 + 16x2 would result in multiple
perimeter of a rectangle. optimal solutions, the end points being B and
The graphical solution is displayed as C. The profit in each case would be $960.
follows. Changing the constraint from
y .90x2 .10x1 0 to .80x2 .20x1 0
D has no effect on the solution.
6
2-14
Copyright 2013 Pearson Education, Inc. publishing as Prentice Hall
Increasing the amount available to invest indicates that for each extra dollar
(i.e., $120,000 to $120,001) will increase invested a return of $0.25 might be
profit from Z = $29,691.37 to expected with this investment strategy.
Z = $29,691.62 or approximately $0.25. Thus, the marginal value of an extra
Increasing by another dollar will increase dollar to invest is $0.25, which is also
profit by another $0.25, and increasing referred to as the shadow or dual
the amount available by one more dollar price as described in Chapter 3.
will again increase profit by $0.25. This
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