# The price of benches is \$9 and the price of tables is \$20, and the objective function is Maximize revenue Z = \$9B + \$20T Use your solution in

The price of benches is \$9 and the price of tables is \$20, and the objective function is

Maximize revenue               Z = \$9B + \$20T

Use your solution in Homework 1 (DOCUMENT ATTACHED) as the starting point, answer the following questions:

1) What is the sensitivity range of the price of Benches such as the optimal solution does not change? Assume the price of tables stays constant at \$20. (Let the price of benches = c1)

2) What is the sensitivity range of the price of Tables such as the optimal solution does not change? Assume the price of benches stays constant at \$9. (Let the price of tables = c2)

3) Calculate the shadow price of the labor constraint.

4) Calculate the shadow price of the redwood constraint?

5) What is the range of b1 (RHS of labor constraint) for the shadow price of labor calculated above to be valid? Show your work with graph.

6) What is the range of b2 (RHS of redwood constraint) for the shadow price of redwood calculated above to be valid? Show your work with graph.

• Attachment 1
• Attachment 2
• Attachment 3
• Attachment 4

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