Star Oil

   {  Exmpl3.6-8_StarOil.mpl  }

   {  Winston, Operations Research, Applications and Algorithms, 4th ed.  }

   {  Chapter 3.6,  Example 8,  Capital Budgeting,  Size: 2x5,  Page 80  }


TITLE
    StarOilCompany;

INDEX
    invest := 1..5;
    time   := 0..1;

DATA
    CashAvail[time] := (40, 20);

    CashOutflow[time,invest] := (11, 53,  5,  5, 29,
                                  3,  6,  5,  1, 34);

    NPV[invest]     := (13, 16, 16, 14, 39);

VARIABLES
    Purchase[invest];

MODEL

    MAX TotalNetPresentValue = SUM(invest: NPV * Purchase);

SUBJECT TO

    InvestLimit[time]:
       SUM(invest: CashOutflow * Purchase) <= CashAvail;

BOUNDS
    Purchase <= 1;
END