What are the allowable ranges for objective function coefficients in sensitivity analysis?
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In sensitivity analysis, the allowable range for an objective function coefficient is the interval within which the coefficient can change without altering the optimal solution, calculated by adding/subtracting the reduced cost from the dual price.
Allowable ranges for objective function coefficients in sensitivity analysis indicate how much each coefficient can change without affecting the optimal solution. These ranges consist of:
1. **Allowable Increase:** The maximum increase allowed for a coefficient before the current solution becomes suboptimal.
2. **Allowable Decrease:** The maximum decrease allowed for a coefficient before the current solution changes.
These ranges help decision-makers understand the stability of the current solution and identify critical coefficients that may significantly impact outcomes if adjusted.