Question: Question 1(25 pts) Please answer using excel..A company is considering five investments. The initial cash outflow (cost) and net present value(yield) for each investment are
Question 1(25 pts) Please answer using excel..A company is considering five investments. The initial cash outflow (cost) and net present value(yield) for each investment are given in the file Problem 1 tab. The cash available for investmentis $13,000. Note that if the company wishes to take part in any of these investments, it must goall the way. In other words, partial investments are not permitted. Furthermore, the companysinvestment policies require the following: (a) at most three of the five investments can beundertaken; (b) if investment 3 is undertaken, then investment 4 must be undertaken as well;and (c) if investment 5 is undertaken, then investment 2 cannot be undertaken.Part a) Highlight the decision variable in the problem data filePart b) Formulate and solve an appropriate integer programming model in the file Problem 1tab to help this company identify a feasible investment plan that maximizes total net presentvalue.(Hint: Solver cannot handle if function for integer programming problems.Therefore, for each of these requirements, you need to set up a constraint to representthis relationship)
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