What is the SHADOW PRICE in Linear Programming?

Dive deeper into the intricacies of linear programming with our tutorial focused on interpreting shadow prices from a sensitivity report in Microsoft Excel. This video elaborates on how shadow prices relate to the objective function value and examines their validity under changes in constraints.

In this video, you'll learn:
- Shadow Price Fundamentals: An overview of what shadow prices are and their significance in linear programming.
- Practical Application in Excel: How to extract and interpret shadow prices from a sensitivity report using Microsoft Excel.
- Understanding Constraints: Explore the allowable increase and decrease in the constraints' right-hand side values and how these adjustments affect the validity of shadow prices.

This tutorial is ideal for students studying operations research, financial analysts, and anyone involved in strategic planning and optimization in various industries.

🔔 Subscribe to our channel for more detailed tutorials on linear programming and Excel applications. Leave your questions or share your experiences in the comments below!

Like and share this video if you find it useful, and keep an eye out for more content that simplifies complex optimization problems.

#LinearProgramming #SensitivityReport #ShadowPrice #MicrosoftExcel #OperationsResearch #Optimization #BusinessAnalytics #BusinessIntelligence #AnswerReport #DataScience

Video: 6B