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CMA Final · Strategic Cost Management · Linear Programming

Kaveri Feeds Ltd minimises cost Z = 6x + 8y (₹) subject to 2x + y ≥ 12, x + 2y ≥ 12, x + y ≥ 9 and x, y ≥ 0. At the optimal solution, what is the surplus in the constraint 2x + y ≥ 12?

The surplus is 3 units. The least-cost corner is x = 6, y = 3 with cost ₹60. There 2x + y equals 15, which exceeds the required minimum of 12 by 3, so that constraint is not binding.

  1. A0
  2. B3Correct
  3. C6
  4. D15

Explanation

The corner points are (0,12) with Z=96, (3,6) with Z=66, (6,3) with Z=60 and (12,0) with Z=72. The minimum is at (6,3). There 2x+y = 15, so the surplus over 12 is 3. A surplus of 0 would apply only if that constraint were binding, and it is not. The value 15 is the left-hand side, not the surplus.

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