Chapter 03 – Linear Programming: Formulation and Applications
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7. When formulating a linear programming problem on a spreadsheet, data cells will show the
levels of activities for the decisions being made.
8. A key assumption of linear programming is that the equation for each of the output cells,
including the target cell, can be expressed as a SUMPRODUCT (or SUM) function.
9. Resource-allocation problems are linear programming problems involving the allocation of
limited resources to activities.
10. Strict inequalities (i.e., < or >) are not permitted in linear programming formulations.
11. When studying a resource-allocation problem, it is necessary to determine the contribution
per unit of each activity to the overall measure of performance.
12. It is usually quite simple to obtain estimates of parameters in a linear programming
problem.
13. The target cell is a special kind of output cell.