QUA 217

An introduction to Operations Research for solving managerial problems and the concept of model building. Basic concepts of linear programming and its economic and managerial applications in the allocation of resources and investment planning; general formulation, graphical solution, the simplex method, the transportation problem, duality theorem, shadow prices, the principle of complementarily, sensitivity analysis to parameters of the program: the lower limit of decreasing resources and the upper limit of increasing them without affecting shadow prices, the lower limit of decreasing the profit and the upper limit of increasing it without affecting the optimal production planning, economic interpretation. ( Software packages are used).