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Simplex Method: Tabular Approach

Problem Setup

Maximize: Z = 6x₁ + 5x₂ (using values from your notes) Subject to:

  • x₁ + x₂ ≤ 5
  • 3x₁ + 2x₂ ≤ 12
  • x₁, x₂ ≥ 0

Step 1: Convert Inequalities to Equalities (Add Slack Variables)

  • x₁ + x₂ + S₁ = 5 (S₁ = unused resource 1)
  • 3x₁ + 2x₂ + S₂ = 12 (S₂ = unused resource 2)

Augmented Model: Z = 6x₁ + 5x₂ + 0S₁ + 0S₂

Initial Simplex Tableau

Cⱼ6500
Basic Variablesx₁x₂S₁S₂RHS
0 S₁11105
0 S₂320112
Zⱼ00000
Cⱼ - Zⱼ6500

Analysis of Initial Tableau:

  • Basic Variables: S₁, S₂ (slack variables)
  • Non-Basic Variables: x₁, x₂ (decision variables = 0)
  • Current Solution: x₁ = 0, x₂ = 0, S₁ = 5, S₂ = 12
  • Current Z value: 0

Iteration 1

Optimality Test:

Cⱼ - Zⱼ row has positive values (6, 5) → Not Optimal

Entering Variable:

Most positive Cⱼ - Zⱼ = 6 → x₁ enters

Leaving Variable (Minimum Ratio Test):

  • S₁: 5/1 = 5
  • S₂: 12/3 = 4 ← Minimum

S₂ leaves the basis

Pivot Element: 3 (intersection of x₁ column and S₂ row)

Pivot Operations:

  1. New S₂ row: R₂ → R₂/3
  2. New S₁ row: R₁ → R₁ - 1×(New R₂)
  3. New Zⱼ row: Calculate Zⱼ for each column

Tableau After Iteration 1

Cⱼ6500
Basic Variablesx₁x₂S₁S₂RHS
0 S₁01/31-1/31
6 x₁12/301/34
Zⱼ640224
Cⱼ - Zⱼ010-2

Current Solution:

  • x₁ = 4, x₂ = 0, S₁ = 1, S₂ = 0
  • Z = 24

Iteration 2

Optimality Test:

Cⱼ - Zⱼ has positive value (1) → Not Optimal

Entering Variable:

Only positive Cⱼ - Zⱼ = 1 → x₂ enters

Leaving Variable (Minimum Ratio Test):

  • S₁: 1/(1/3) = 3
  • x₁: 4/(2/3) = 6

S₁ leaves the basis

Pivot Element: 1/3

Pivot Operations:

  1. New S₁ row: R₁ → R₁/(1/3) = 3R₁
  2. New x₁ row: R₂ → R₂ - (2/3)×(New R₁)
  3. New Zⱼ row: Calculate Zⱼ for each column

Final Tableau

Cⱼ6500
Basic Variablesx₁x₂S₁S₂RHS
5 x₂013-13
6 x₁10-212
Zⱼ653127
Cⱼ - Zⱼ00-3-1

Optimality Test:

All Cⱼ - Zⱼ ≤ 0 → OPTIMAL SOLUTION FOUND

Final Solution

Optimal Values:

  • x₁ = 2
  • x₂ = 3
  • S₁ = 0 (resource 1 fully used)
  • S₂ = 0 (resource 2 fully used)
  • Maximum Z = 27

Physical Interpretation

Basic vs Non-Basic Variables:

  • Basic Variables (x₁, x₂): In the final solution, these have positive values
  • Non-Basic Variables (S₁, S₂): These equal zero, meaning both resources are fully utilized

Shadow Prices:

From the final Cⱼ - Zⱼ row:

  • S₁ has -3: Each additional unit of resource 1 would increase Z by 3
  • S₂ has -1: Each additional unit of resource 2 would increase Z by 1

Verification:

  • Constraint 1: 2 + 3 = 5 ✓
  • Constraint 2: 3(2) + 2(3) = 12 ✓
  • Objective: 6(2) + 5(3) = 27 ✓

Key Concepts from Your Notes

  1. Cⱼ - Zⱼ Test: Positive values indicate the variable can improve the objective
  2. Minimum Ratio Test: Determines which variable leaves to maintain feasibility
  3. Pivot Operations: Transform the tableau to represent the new basic solution
  4. Basic/Non-Basic Classification: Tracks which variables are in the current solution

This tabular method systematically moves from one basic feasible solution to a better one until optimality is achieved.

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    Simplex Method: Tabular Approach (Following Your Notes Format) | Claude