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Formulate a PV LP model for selecting among the three projects described below. MARR = 8%. There is a budget of $13,000 at time 0,
Formulate a PV LP model for selecting among the three projects described below. MARR = 8%. There is a budget of $13,000 at time 0, and the projects are required to generate $3,500 at time 1 and $1,200 at time 2. The life of each project is 10 years. The projects are independent except that A cannot be selected except B is also selected.
Project Investment Annual Cash Flow
A $5,000 $1,319
B $7,000 $1,942
C $8,500 $2,300
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