Question: Question # 2: (12 marks) A company is considering introducing 5 new products. The fixed capital and profit of each unit are as follows: Product

Question # 2: (12 marks) A company is considering

Question # 2: (12 marks) A company is considering introducing 5 new products. The fixed capital and profit of each unit are as follows: Product Capital Profit/ unit 1 2,000 8 2 5,000 20 3 2,500 10 4 3,000 12 5 4,000 15 For technical reasons, management requires that project 2 must be selected if product 3 is selected. Further, if product 4 is selected, product 1 Should Not be selected. Given that the total available capital is $12,000. a) Formulate the problem as an integer program to answer management question which products should be selected (Define the variables first). b) What method would you use to solve this problem? (DO NOT SOLVE)

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