Modify and solve the capital budgeting model of Example 9.1-1 to account for the following additional restrictions:
Question:
(a) Project 5 must be selected if either project 1 or project 3 is selected.
(b) Projects 2 and 3 are mutually exclusive.
Example 9.1-1
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Capital budgeting is a practice or method of analyzing investment decisions in capital expenditure, which is incurred at a point of time but benefits are yielded in future usually after one year or more, and incurred to obtain or improve the...
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