In some problems, decision variables have to be set as integers.
Choose among a set of options
We will focus on the last type of problems: do/dont-
City Tax Problem
A small city in the US needs to generate $6 million in tax revenues.
Citys citizens broadly fall into three income categories: low, middle and upper.
The city commissioners would ideally like to have
Liability funding problem
A company has to set up a sinking fund to cover a liability. The liability is
$1630 at the end of each of the next 15 years.
Question: How much would you set aside?
Ideally the company would like to
Simon Business School
Professor Ricky Roet-Green
Example: Cash Planning
A startup investment project needs money to cover its cash flow needs.
At the end of the 5-month period all the cash that is left will be tur
What is an arbitrage?
Arbitrage is a trade that profits by exploiting price differences of
identical or similar financial instruments, on different markets or
in different forms.
Arbitrage exists as a result of mar