Dictionary of Accounting Terms: simplex method
simplex method
technique most commonly used to solve a Linear Programming (LP) problem. It is an algorithm, a step-by-step procedure for moving from corner point to corner point of the feasible region in such a manner that successfully larger (smaller) values of the objective function in a maximization (minimization) problem are obtained at each step. The procedure is guaranteed to yield the optimal solution in a finite number of steps.
