It plans to convert into apartment unit

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Reference no: EM131485023

The BAM construction company has just purchased a warehouse in Amsterdam which it plans to convert into apartment units. The total available surface for creating apartments is 40, 000 m^2. There will be three different types of apartments, namely deluxe apartments, 2-bedrooin apartments and 3-bedroom apartments. The number of each type of apartment still needs to be determined and depend on the following conditions. The surface of each deluxe apartment will be 200 m^2. The 2-bedroom apartments each need 120 m^2 and for a 3-bed room apartments 150 m^2 is required. BAM estimates that it will make a profit of euro 20, 000 on each deluxe apartment, euro 7, 000 on each 2-bedroom apartment, and euro 12, 000 on each 3-bedroom apartment. Market research shows that BAM can probably sell at most 30 deluxe apartments. BAM agreed that at least 20 percent of the total number of apartments will be 2-bedroom apartments. However, to maintain a high class image, BAM plans that the number of 2-bedroom apartments does not exceed 40 percent of the total number of apartments built. BAM expects that given the mentioned conditions all apartments will be sold. The objective of BAM is to maximise profit. Formulate this problem as an ILP model. Declare your variables. Clean up your model (variables on the left, constants on the right).

Reference no: EM131485023

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