Question: Reconsider the Fly-Right Airplane Co. problem introduced in Prob. 12.3-7. A more detailed analysis of the various cost and revenue factors now has revealed that

Reconsider the Fly-Right Airplane Co. problem introduced in Prob. 12.3-7. A more detailed analysis of the various cost and revenue factors now has revealed that the potential profit from producing airplanes for each customer cannot be expressed simply in terms of a start-up cost and a fixed marginal net revenue per airplane produced. Instead, the profits are given by the following table.
Reconsider the Fly-Right Airplane Co. problem introduced in Prob. 12.3-7.

(a) Formulate a BIP model for this problem that includes constraints for mutually exclusive alternatives.

Profit from Customer Airplanes Produced 2 0 0 -$1 million $2 million $4 million 0 0 1 llon 1 million $5 million $3 million $5 million $6 million $7 million 4

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