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Use the Data Shown Below to Answer the Following Question(s)

Question 10

Multiple Choice

Use the data shown below to answer the following question(s) .
Malone Inc.has identified five potential new processes; however,the firm is constrained by its available budget and human resources.Each process is expected to generate a return (given by the net present value) but requires a fixed amount of cash and personnel.Because the resources are limited,all processes cannot be selected.Processes cannot be partially completed; thus,either the process must be undertaken completely or not at all.The data are given in the table below.If a process is selected,it generates the full value of the expected return and requires the full amount of cash and personnel shown in the table.Define Xi = 1 if process i is selected,and 0 otherwise. Use the data shown below to answer the following question(s) . Malone Inc.has identified five potential new processes; however,the firm is constrained by its available budget and human resources.Each process is expected to generate a return (given by the net present value) but requires a fixed amount of cash and personnel.Because the resources are limited,all processes cannot be selected.Processes cannot be partially completed; thus,either the process must be undertaken completely or not at all.The data are given in the table below.If a process is selected,it generates the full value of the expected return and requires the full amount of cash and personnel shown in the table.Define X<sub>i</sub> = 1 if process i is selected,and 0 otherwise.   -Identify the expression that explains the cash limitation. A) $27,500X<sub>1</sub> + $41,500X<sub>2</sub> + $12,000X<sub>3</sub> + $24,500X<sub>4</sub> + $61,000X<sub>5</sub> ≤ $150,000 B) $90,000X<sub>1</sub> + $110,000X<sub>2</sub> + $75,000X<sub>3</sub> + $70,000X<sub>4</sub> + $100,000X<sub>5</sub> ≤ $150,000 C) $27,500X<sub>1</sub> + $41,500X<sub>2</sub> + $12,000X<sub>3</sub> + $24,500X<sub>4</sub> + $61,000X<sub>5</sub> ≥ $150,000 D) $90,000X<sub>1</sub> + $110,000X<sub>2</sub> + $75,000X<sub>3</sub> + $70,000X<sub>4</sub> + $100,000X<sub>5</sub> ≥ $150,000
-Identify the expression that explains the cash limitation.


A) $27,500X1 + $41,500X2 + $12,000X3 + $24,500X4 + $61,000X5 ≤ $150,000
B) $90,000X1 + $110,000X2 + $75,000X3 + $70,000X4 + $100,000X5 ≤ $150,000
C) $27,500X1 + $41,500X2 + $12,000X3 + $24,500X4 + $61,000X5 ≥ $150,000
D) $90,000X1 + $110,000X2 + $75,000X3 + $70,000X4 + $100,000X5 ≥ $150,000

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