Question: A consulting firm has four projects to consider. Each project will require time ( in days ) in the next three months according to the
A consulting firm has four projects to consider. Each project will require time in days in the next three months according to the table below.
tableProjectTime in first month,Time in second month,Time in third month,RevenueABCD
Revenue from each project is also shown. There is days' time available in the first month, days' time available in the second month, and days' time available in the third month to do these projects. The I management wants to select at least projects. If project is selected, then project must also be selected. The objective of the firm is to maximize the total revenue.
Formulate a capital budgeting problem for the above situation by determining
a The decision variables for this problem.
b The objective function for this problem. What does it represent?
c All the constraints for this problem. Briefly describe what each constraint represents.
Note: Do NOT solve the problem after formulating.
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