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Group x C Products Ses Pedag + Vince Bookshet Optix On Mong 7716/6/16/S002/200304 Programmers 0 BE 3 8 3 3 7 6.5 Choosing R&D Projects: Texas Electronics Company (TEC) is contemplating a research and development program encompassing eight major projects. The company is constrained from embarking on all of the projects by the number of available scientists (40) and the budget available for projects ($300,000). In the following are the resource requirements and the estimated profit for each project Project Expense (5000) Scientists Required Profit (5000) 1 60 7 36 2 110 9 82 3 53 8 29 4 47 4 16 5 92 7 56 6 85 6 61 7 73 8 48 8 65 5 41 (a) What is the maximum profit, and which projects should be selected? (b) Suppose that projects 2 and 5 are mutually exclusive. That is TEC should not undertake both. As a result, what is the revised project portfolio and the revised maximum profit? (c) In addition, suppose that projects 5-8 involve consumer products and that management decides to undertake at least two of those. As a result, what is the revised project portfolio and the revised maximum profit? 6.6 Stocking Warehouses: Nicklaus Razor Blade (RH) Company plans to test market a new blade next month. The hlades will be stored in their three warehouses in the following mantities Aa 50 e