. Christian Henderson, VP of research for CRT Technologies is trying to determine which R&D projects to support for the next 5 years. A short list of 6 projects has been identified as promising investments, however, the company cannot undertake all 6 of them. Christian must select which of the projects to recommend to the management team.

The table below gives relevant data:

Estimated NPV for each project

Capital required for each project each year.

		Capital ($000) required in
Project	Estimated NPV ($000)	Year 1	Year 2	Year 3	Year 4	Year 5
1	141	75	25	20	15	10
2	187	90	35	0	0	30
3	121	60	15	15	15	15
4	83	30	20	10	5	5
5	265	100	25	20	20	20
6	127	50	20	10	30	40

The company currently has $250,000 available to invest in new projects. It has budgeted $75,000 for continued support in year 2 and $50,000 for each of years 3, 4, and 5.

In addition, the following requirements must be met:

• Exactly two of projects 1,2, 4, and 6 must be selected
• Project 2 can be selected only if project 3 is selected
• Project 5 cannot be selected if project 4 is selected

Write the binary integer programming formulation to determine which of the projects should be selected to maxmize the total expected NPV.