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Data Corp Is Considering Which of 4 Different Projects to Undertake

question 69

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Data Corp. is considering which of 4 different projects to undertake in order to maximize its net present value (NPV) . Define Xi as a binary variable that equals 1 if project i is undertaken and 0 otherwise, for i = 1, 2, 3, 4. The NPV and required capital (in millions) for each project are listed below. Data Corp. is considering which of 4 different projects to undertake in order to maximize its net present value (NPV) . Define X<sub>i</sub> as a binary variable that equals 1 if project i is undertaken and 0 otherwise, for i = 1, 2, 3, 4. The NPV and required capital (in millions) for each project are listed below. Which of the following represents the constraint stating that project 2 can be undertaken only if project 3 is undertaken? A) X<sub>2</sub> + X<sub>3</sub> ≤ 1 B) X<sub>2</sub> - X<sub>3</sub> ≤ 0 C) X<sub>3</sub> - X<sub>2</sub> ≤ 0 D) X<sub>2</sub> - X<sub>3</sub> ≤ 1 E) X<sub>3</sub> - X<sub>2</sub> ≤ 1 Which of the following represents the constraint stating that project 2 can be undertaken only if project 3 is undertaken?

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