A firm has prepared the following binary integer program to evaluate a number of potential locations for new warehouses. The firm's goal is to maximize the net present value of their decision while not spending more than their currently available capital. Max 30x1 + 35x2 + 15x3+ 20x4 s.t. 12x1 + 8x2 + 5x3 +11x4 s 20 {Constraint 1) X1 + x2 X3 + x4 2 2 (Constraint 2} x1 + x2 s1 (Constraint 3} x1 + x3 2 1 (Constraint 4} x2 = x4 (Constraint 5} S 1, if locationj is selected 0, otherwise Solve this problem to optimality and answer the following questions: a. Which of the warehouse locations will/will not be selected? Location 1 will Location 2 will Location 3 will Location 4 will
A firm has prepared the following binary integer program to evaluate a number of potential locations for new warehouses. The firm's goal is to maximize the net present value of their decision while not spending more than their currently available capital. Max 30x1 + 35x2 + 15x3+ 20x4 s.t. 12x1 + 8x2 + 5x3 +11x4 s 20 {Constraint 1) X1 + x2 X3 + x4 2 2 (Constraint 2} x1 + x2 s1 (Constraint 3} x1 + x3 2 1 (Constraint 4} x2 = x4 (Constraint 5} S 1, if locationj is selected 0, otherwise Solve this problem to optimality and answer the following questions: a. Which of the warehouse locations will/will not be selected? Location 1 will Location 2 will Location 3 will Location 4 will
Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter5: Network Models
Section: Chapter Questions
Problem 80P
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Transcribed Image Text:A firm has prepared the following binary integer program to evaluate a number of potential locations for new warehouses. The firm's
goal is to maximize the net present value of their decision while not spending more than their currently available capital.
Max 30x1 + 35x2 + 15x3+ 20x4
s.t. 12x1 + 8x2 + 5x3 + 11x4 s 20 (Constraint 1)
2 2 (Constraint 2}
+
X1
x2
X3
X4
s1 {Constraint 3}
+
X1 + x2
X1 + x3 2 1 (Constraint 4}
x2 = x4 (Constraint 5)
S 1, if location j is selected
0, otherwise
Xj
Solve this problem to optimality and answer the following questions:
a. Which of the warehouse locations will/will not be selected?
Location 1 will
Location 2 will
Location 3 will
Location 4 will
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