Questio associated with product 1. The related integral variable Xi and binary v

Question

Questio associated with product 1. The related integral variable Xi and binary variable Yi are n 9, 10, and 11 are related to a fixed charge problem, in which a fixed charge of defined as follows: x, = number of units of product 1 to be produced, an integer Y1 = 1 ifX1>=1, and 9. What does the expression "780Y," mean? a. The expense of the $780 fixed charge in any case. b. The $780 fixed charge is spent if Y-1, which is not spent if Yi-0 c. It is the total cost of producing project 1, including both fixed and variable costs. 10. Write a constraint to represent: "If X,-0 then Y1-0. 11. Write a constraint to represent: "Xi>=1 then Y,-I."

Explanation / Answer

9.

Option B is correct.

780Y1 = 780*1 = 780 when (Y1= 1) when it is produced, else 780*0 = 0 (Y1=0) when it is not produced.

10.

To represent the given condition: When there is no production the Variable and the fixed costs are 0.

So, when no production is there the production then Y1 = 0 (Binary) and so the variable cost mulitplier is also 0, X1=0

11.

To represent the given condition: When there is production the Variable and the fixed costs are positve (Non zero).

So, when production is there the production then Y1 = 1 (Binary) and so the variable cost mulitplier is also positive, X1>=1

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