If the shadow price for a resource is 0 and 150 units of the resource are added what happens to the objective function value?
A) increase of 150
B) increases more than 0 but less than 150
C) no change
D) increases but by an unknown amount

Question

Quizplus · Accepted Answer

The shadow price of a resource indicates how much the objective function value would change with a one-unit increase in the resource. A shadow price of 0 means that adding more of the resource does not change the objective function value, hence there is no change.

If the Shadow Price for a Resource Is 0 and 150