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Case Problem 1 TEXTBOOK PUBLISHING ASW Publishing, Inc., a small publisher of college textbooks, must make a decision regarding which books to publish next year. The books under consideration are listed in the following table, along with the projected three-year sales expected from each book: Projected Sales ($1000s) 20 30 15 10 Book Subject Business calculus Finite mathematics General statistics Mathematical statistics Business statistics pesmicas Finance Financial accounting Finandi Managerial accounting English literature German Type of Book New Revision New New Revision New New Revision New New 20 30 The books listed as revisions are texts that ASW already has under contract; these texts are being considered for publication as new editions. The books that are listed as new have been reviewed by the company, but contracts have not yet been signed. Three individuals in the company can be assigned to these projects, all of whom have varying amounts of time available; John has 60 days available, and Susan and Monica both have 40 days available. The days required by each person to complete each project are shown in the following table. For instance, if the business calculus book is published, it will require 30 days of John's time and 40 days of Susan's time. An X indicates that the per- son will not be used on the project. Note that at least two staff members will be assigned to each project except the finance book, John 30 16 24 Susan 40 24 Book Subject Business calculus Finite mathematics General statistics Mathematical statistics D Business statistics Finance Financial accounting Managerial accounting English literature German Monica X 30 24 16 14 26 30 30 36 mas 40 28 34 50 ASW will not publish more than two statistics books or more than one accounting text in a single year. In addition, management decided that one of the mathematics books (busi- ness calculus or finite math) must be published, but not both. Managerial Report Prepare a report for the managing editor of ASW that describes your findings and recom- mendations regarding the best publication strategy for next year. In carrying out your Chapter 7 Integer Linear Programming analysis, assume that the fixed costs and the sales revenues per unit are approximately equal for all books; management is interested primarily in maximizing the total unit sales volume. The managing editor also asked that you include recommendations regarding the fol- lowing possible changes: 1. If it would be advantageous to do so, Susan can be moved off another project to allow her to work 12 more days. 2. If it would be advantageous to do so, Monica can also be made available for another 10 days. 3. If one or more of the revisions could be postponed for another year, should they be? Clearly the company will risk losing market share by postponing a revision. Include details of your analysis in an appendix to your report