Making project selection decisions: A multi-period capital budgeting problem

Project selection is a major problem in managerial decision making. In this study, a deterministic model that schedules project starts is formulated as a binary integer program. This model is applicable in various settings such as selection of engineering projects in corporate planning, or in other planning environments in which the candidate projects are interdependent. The results of experimental runs with representative data show that the binary integer model can provide the required solutions in a very reasonable amount of time.