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Solve by LP decomposition Ooredoo 4G 12:46 PM mybb.qu.edu.qa Table 6.2 Problem A global investment company would like to make an investment on several Oil

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Ooredoo 4G 12:46 PM mybb.qu.edu.qa Table 6.2 Problem A global investment company would like to make an investment on several Oil and Gas Companies in the United States. Total annual expected return (in thousands) and cost for block of shares (investment costs in thousands) are given in Table 1. Table 1. Company name, expected annual return and cost for block of shares COST FOR BLOCK OF SHARES NAME ANNUAL RETURN Trans-Texas Ol (Texas) British Petro (Foreign) Dutch Shell (Foreign) Houston Driling (Texas Lone Star Petro (Texas) San Dieago Oil (Calfornia) Califomia Petro (Califomia) s 80 $ 90 $120 $110 S 40 s 75 $ 480 S 540 $ 680 $1,000 s 700 S 510 S 900 Constraints 1. Total maximum investment is limited to 3,000$ The investor should invest in at least two Texas companies (Trans-Texas, Houston Drilling and Lone Star Petro) 2. 3. The investor should invest in only one California company 4. The investor should invest in maximum one foreign 5. The binary investment value of British Petro should be less 6. All decision variables should have binary values, O or 1. (San Diego Oil and California Petro) companies (British Petro and Dutch Shell) than the binary investment value of Trans Texas

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