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A company has decided to use 01 integer programming to help make some investment decisions. There are three possible investment alternatives from which to choose,
A company has decided to use 01 integer programming to help make some investment decisions. There are three possible investment alternatives from which to choose, but if it is decided that a particular alternative is to be selected, the entire cost of that alternative will be incurred (i.e., it is impossible to build one-half of a factory). The integer programming model is as follows: Maximize 5000 X1 + 7000X2 + 9000X3 Subject to: X1 + X2 + X3 2 Constraint 1 -X1 + X2 0 Constraint 2 25,000 X1 + 32,000 X2 + 29,000 X3 62,000 (budget limit) 16 X1 + 14 X2 + 19 X3 36 (resource limitation) all variables = 0 or 1 where X1 = 1 if alternative 1 is selected, 0 otherwise X2 = 1 if alternative 2 is selected, 0 otherwise X3 = 1 if alternative 3 is selected, 0 otherwise Solution x1 = 1, x2 = 0, x3 = 1, objective value = 14,000. Table 10-3 presents an integer programming problem. What is the meaning of Constraint 1
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