LP deals with the optimization of a function of variables known as objective function/ cost function, subject to a set of linear equations and/or inequalities called constraints.

#### Assumptions in LP

1. Proportionality: some sort of proportionality exists between the objective function and constraints.
3. Continuity: decision variables can take any non-negative value that satisfies the constraints. However, some problems need integer values.
4. Certainty: all LP problems are assumed to be deterministic.
5. Finite Choices: a limited number of choices are available to the decision maker.

#### Formulation of LP problem.

Step 1: find the key-decision to be made by looking for variables.

Step 2: assume symbols for the variables and find the extents of variation.

Step 3: find feasible alternatives mathematically in terms of variables.

Step 4: mention the objective function quantitavely, as a linear function. Prepare a cost function.

Step 5: represent the influencing factors or constraints in mathematical terms.

1. attain optimum use of productive factors
2. improve quality of decisions
3. can handle multiple constraints
4. highlights the bottlenecks