Question: A developer of video game software has seven proposals for new games. Unfortunately, the company cannot develop all the proposals because its budget for new

A developer of video game software has seven proposals for new games. Unfortunately, the company cannot develop all the proposals because its budget for new projects is limited to $950,000 and it has only 20 programmers to assign to new projects. The financial requirements, returns, and the number of programmers required by each project are summarized below. Projects 2 and 6 require specialized programming knowledge that only one of the programmers has. Both of these projects cannot be selected because the programmer with the necessary skills can be assigned to only one of the projects. (All dollar amounts represent thousands.)

a. Formulate an ILP model for this problem.
b. Create a spreadsheet model for this problem and solve it.
c. What is the optimalsolution?

Project Programmers Required Capital Required Estimated NPV $250 $%175 300 $150 $145 $160 $325 $650 $550 $600 $450 $375 $525 $750

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a Let Xi 1 if project i is selected 0 otherwise MAX 650 X1 550 X2 600 X3 450 X4 375 X5 525 X6 7... View full answer

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