Multiple Choice
Table 10-3
A company has decided to use 0−1 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?
A) If X1 is selected,X2 must also be selected.
B) No more than two alternatives may be selected.
C) At least two alternatives must be selected.
D) If X2 is selected,X1 must also be selected.
E) None of the above
Correct Answer:

Verified
Correct Answer:
Verified
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