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Example 1 : Capital Budgeting Problem The following questions refer to a capital budgeting problem with six projects represented by binary variables x 1 ,

Example 1: Capital Budgeting Problem
The following questions refer to a capital budgeting problem with six projects represented by binary
variables x1, x 2, x3, x4, x 5, and x6.
a. Write a constraint modeling a situation in which two of the projects 1,3,5, and 6 must be undertaken.
b. Write a constraint modeling a situation in which, if project 3 or 5 is undertaken, they must both be
undertaken.
c. Write a constraint modeling a situation in which project 1 or 4 must be undertaken, but not both.
d. Write constraints modeling a situation where project 4 cannot be undertaken unless projects 1 and 3
also are undertaken.
e. Revise the requirement in part d to accommodate the case in which, when project 1 or 3 is
undertaken, project 4 also must be undertaken.
f. Revise the requirement in part d to accommodate the case in which, when projects 1 and 3 are
undertaken, project 4 also must be undertaken.

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