Question: IQ Computer assembles UNIX workstations at its plant. The current product line is near- ing the end of its marketing life, and it is time

IQ Computer assembles UNIX workstations at its

IQ Computer assembles UNIX workstations at its plant. The current product line is near- ing the end of its marketing life, and it is time to start production of one or more new prod- ucts. The data for several candidates are shown below. The maximum budget for research and development is $300 000. A minimum of $200 000 should be spent on these projects. It is desirable to spread out the introduction of new products, so if two products are to be developed together, they should have different lead times. Resource draw refers to the labour and space that are available to the new products, it cannot exceed 100 percent. On the basis of the above information, determine the set of feasible mutually exclusive alternative projects that IQ Computers should consider. Potential Product B D S150 000 Research and development costs Lead time Resource draw $120 000 1 year 60% S60 000 2 years 50% 1 year $75 000 2 years 30% 40%

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