An optimization analysis finds the optimum value for a target variable by repeatedly changing other variables, subject to specified constraints. What can a manager determine by changing revenue and cost variables in an optimization analysis?
A)Calculate the highest potential profits
B)Calculate employee benefit payments
C)Use this as an extension for a digital dashboard
D)Create production schedules

Question

Quizplus · Accepted Answer

An optimization analysis finds the optimum value for a target variable by repeatedly changing other variables, subject to specified constraints. By changing revenue and cost variables in an optimization analysis, managers can calculate the highest potential profits.

An Optimization Analysis Finds the Optimum Value for a Target