Linear programming, Managerial Accounting

Linear Programming
   
This section introduces the general method called the simplex algorithm, which is designed to solve any linear program. The information that can be secured from the simplex method goes beyond determining the optimum values of the variables. Indeed, it provides important economic interpretations of the problem and shows how sensitivity analyses can be carried out algebraically.

The simplex method solves linear programming in iterations where the same computational steps are repeated a number of times before the optimum are reached.

The Standard Form of the LP Model:

An LP model may include constraints of the types ≤, =, and ≥. Moreover, the variables may be non-negative or unrestricted in sign.  In order to develop a general solution method, the LP problem must be put in a common format, which we call the standard form. The properties of the standard LP form are:

1) All constraints are the equations with non-negative right-hand side.
2) All the variables are non-negative.
3) The objective function might be maximization or minimization.

Posted Date: 12/7/2012 6:04:08 AM | Location : United States







Related Discussions:- Linear programming, Assignment Help, Ask Question on Linear programming, Get Answer, Expert's Help, Linear programming Discussions

Write discussion on Linear programming
Your posts are moderated
Related Questions
Explain the Cost accounting:         Meaning and definition: Cost accounting is the process of accounting for cost which begins with the incurrence of cost and ends with th

Give the following cost data Costs /per unit labor … $ 4 Materials …5 Fixed cost … $ 12000 Determine the break even point in units if the selling price is $ 19.00 Determine th

CHOOSING ORDER QUANTITY (SIZE—PROBLEM) The objective of inventory decisions is usually to minimize total inventory costs to the company. Costs are ascribed to all elements whic

Standard error of estimate (Se) The coefficient of determination r 2 gives us an indication of the reliability of the estimate of total cost based on the regression equation b

1) What is the difference between decreasing marginal returns and negative marginal returns?   2.) "A firm in monopolistic competition maximizes its profit by producing where it

The management of Popular Stores Sdn. Bhd. are in the process of exploring the company’s investment opportunities.

What are Direct expanses These are expanses which can be directly, conveniently and wholly allocated to a specific cost centres or cost units examples of such expanses are hir

Importance of a budget A Budget is a plan expressed in monetary terms. It is prepared prior to the budget period and may show income, expenses and the capital to be used i.e. a

Describe the Nature of standard costing The system of standard costs (standard costing) is a management technique of using predetermined costs (standard costs) for evaluating p

Collection float considers to the gap among the times, payment is made through the customer/debtor and the time while funds are obtainable for use in the company's bank account. In