Question: I need lp model and excel solution. Thanks The We-Grow Co. plans to evaluate project alternatives by concerning net present values (NPV), the capital requirements

I need lp model and excel solution. Thanks TheI need lp model and excel solution. Thanks

The We-Grow Co. plans to evaluate project alternatives by concerning net present values (NPV), the capital requirements and the available budget for the next four years as indicated in the following table. We-Grow has determined four project alternatives: plant expansion, warehouse expansion, purchasing new machinery, and new product research, respectively. PROJECTS Plant Expansion 90000 15000 20000 20000 NPV Year 1 Cap Rqmt Year 2 Cap Rqmt Year 3 Cap Rqmt Year 4 Cap Rqmt Warehouse Expansion 40000 10000 15000 New Machinery 10000 10000 New Product Total Research Capital 37000 Available 15000 40000 10000 50000 10000 40000 20000 15000 5000 4000 10000 35000 Build an appropriate binary LP model to select the best project-mix that maximizes the NPV with respect to the capital requirements and availabilities. Explain the optimum solution

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related General Management Questions!