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CMA Intermediate · Operations Management and Strategic Management · Optimum Allocation of Resources - LPP

Which of the following is a basic assumption of linear programming?

Linear programming assumes that the objective function and constraints are linear, with proportionality and additivity of contributions. Per-unit profit must stay constant, variables are non-negative, and resources are limited, which is why the other statements are incorrect.

  1. AProfit per unit changes with the volume produced
  2. BDecision variables can take only negative values
  3. CObjective function and constraints are linear, with proportionality and additivityCorrect
  4. DResources are unlimited

Explanation

LP assumes linearity: contributions are proportional to variable levels and additive across variables. Variable per-unit profit violates proportionality, negative-only variables contradict non-negativity, and unlimited resources would remove the need for constraints.

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