MGMT 101 (Management Science with Eppel) - Final Exam ACTUAL UPDATED
QUESTIONS AND CORRECT ANSWERS
, In general, rounding large values of decision variables to True
the nearest integer value causes fewer problems than
rounding small values.
If x₁ + x₂ ≤ 500y₁ and y₁ is a binary (0-1) variable, then if y₁ True
is 0, x₁ and x₂ will be 0.
Dual prices cannot be used for integer programming True
sensitivity analysis because they are designed for linear
programs.
Integer linear programs are harder to solve than linear True
programs.
Rounding the solution of an LP Relaxation to the nearest an integer solution that might be neither feasible nor optimal.
integer values provides
Let x₁ and x₂ be binary (0-1) variables whose values x₁ − x₂ ≥ 0
indicate whether projects 1 and 2 are not done or are
done. Which answer below indicates that project 2 can be
done only if project 1 is done?
In an all-integer linear program, all decision variables must be integer.
A nonlinear optimization problem is any optimization True
problem in which at least one term in the objective
function or a constraint is nonlinear.
In the case of functions with multiple local optima, most True
nonlinear optimization software methods can get stuck
and terminate at a local optimum.
The measure of risk most often associated with the portfolio variance.
Markowitz portfolio model is the
Decision alternatives are structured so that several could False
occur simultaneously.
EVPI is always greater than or equal to EVSI. True
After all probabilities and payoffs are placed on a True
decision tree, the decision maker calculates expected
values at state of nature nodes and makes selections at
decision nodes.
To assign utilities, consider the best and worst payoffs in True
the entire decision situation.
The utility function for a risk avoider typically shows a True
diminishing marginal return for money.
QUESTIONS AND CORRECT ANSWERS
, In general, rounding large values of decision variables to True
the nearest integer value causes fewer problems than
rounding small values.
If x₁ + x₂ ≤ 500y₁ and y₁ is a binary (0-1) variable, then if y₁ True
is 0, x₁ and x₂ will be 0.
Dual prices cannot be used for integer programming True
sensitivity analysis because they are designed for linear
programs.
Integer linear programs are harder to solve than linear True
programs.
Rounding the solution of an LP Relaxation to the nearest an integer solution that might be neither feasible nor optimal.
integer values provides
Let x₁ and x₂ be binary (0-1) variables whose values x₁ − x₂ ≥ 0
indicate whether projects 1 and 2 are not done or are
done. Which answer below indicates that project 2 can be
done only if project 1 is done?
In an all-integer linear program, all decision variables must be integer.
A nonlinear optimization problem is any optimization True
problem in which at least one term in the objective
function or a constraint is nonlinear.
In the case of functions with multiple local optima, most True
nonlinear optimization software methods can get stuck
and terminate at a local optimum.
The measure of risk most often associated with the portfolio variance.
Markowitz portfolio model is the
Decision alternatives are structured so that several could False
occur simultaneously.
EVPI is always greater than or equal to EVSI. True
After all probabilities and payoffs are placed on a True
decision tree, the decision maker calculates expected
values at state of nature nodes and makes selections at
decision nodes.
To assign utilities, consider the best and worst payoffs in True
the entire decision situation.
The utility function for a risk avoider typically shows a True
diminishing marginal return for money.
