The dual price for a constraint that compares funds used with funds available is .058. This means that
A) the cost of additional funds is 5.8%.
B) if more funds can be obtained at a rate of 5.5%, some should be.
C) no more funds are needed.
D) the objective was to minimize.

Question

Quizplus · Accepted Answer

The dual price of .058 indicates the value of an additional unit of resource (funds) in the objective function. If funds can be obtained at a lower rate (5.5%), it is beneficial to acquire more since the cost is less than the value they add.

The Dual Price for a Constraint That Compares Funds Used