Question: In Spreadsheet modeling and decision analysis, optimizing a timber harvest. I need to know the complete formula for the net flow column and if there

In Spreadsheet modeling and decision analysis, optimizing a timber harvest. I need to know the complete formula for the net flow column and if there is a formula for the link column and if so, what it is.

Spreadsheet modeling and decision analysis:


Optimizing a Timber Harvest





Build








FlowFromToRoad?CostLink
AreaHarvest?ValueSupply/DemandNet Flow

0140$9.000
10$15.00$0.000

0200$0.000
20$7.00$0.000

0320$13.000
30$10.00$0.000

0360$12.000
40$12.00$0.000

0450$14.000
50$8.00$0.000

0520$15.000
60$17.00$0.000

0580$13.000
70$14.00$0.000

0630$12.000
80$18.00$0.000

0690$13.000
90$13.00$0.000

0740$15.000
100$12.00$0.000

0850$13.000
110$10.00$0.000

0890$12.000
120$11.00$0.000

0960$13.000
0----$0.000

0980$12.000






010110$11.000

Road cost0


01180$12.000

Timber Value$0.00


01290$10.000

Profit$0.00














Step 1











Put in values for transportation from one location to the other and the area.

















Step 2











Add cost of building each section of road in thousands



















Step 3











Add decision variables to determine which area is most profitable.





Cells B5:b21 are the flow from one area to another.







Cells E5:E21 will indicate if the road should be built or not.






Cells J5:J17 will show if an area should be harvested or not.



















Step 4











Cells G5:G21 will calculate the link





















Step 5











In cells, L5:L16 is the value of the harvested area times if the area should be harvested. L17 is the sum.















Step 6











Column M is the Net flow using the sumif function.






So, if the sum of D5:D21 is equal to I5, minus is the sumif






of sum of C5:C21 is equal to I5






















Step 7











In cell K19 I calculated the road cost using sumproduct. In cell K21 the profit is calculated by finding the


difference between K20 and K19.





















Step 8











Next, I used Solver to find a solution. Cell K21 is the objective cell that we want to maximize by changing


cells B5:B21, E5:E21 and J5:J16.








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