10 May A Lady Sold Her Business For $500,000 And Wants To Invest In Condominiums Units (Which She Intends To Rent) …
A lady sold her business for $500,000 and wants to invest in condominiums units (which she intends to rent) and land (which she will lease to a farmer). She estimates that she will receive an annual return of $8,000 for each condominium and $6,000 for each acre of land. A condominium unit costs $70,000 $30,000 per acre. A condominium will cost her $1,000 per unit, an acre of land will cost $2,000 for maintenance and upkeep, and $14,000 has been budgeted for these annual expenses. She wants to know how much to invest in condominiums and land to maximize her annual return. A) Formulate a mixed integer programming model for this problem B) Solve this model by using a computer
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