• There are N projects.

    • Doing project i yields income [$ r_i
  • There are m machines.

    • Buying machine j costs [$ c_j
  • In order to do a project, you have to buy the machinery needed for that project.

  • Which project should I choose to maximize profit = revenue - cost?


The following explanation is Cutting the smallest cut is not “cutting an edge”. This is not a good explanation because it was written before I understood

  • There are N projects.

  • There are m machines.

  • Project requires some machinery

  • Choosing project pi yields income r(pi)

  • Buying the required machine qj costs c(qj)

  • Which project should I choose to maximize profit-cost?

  • Express the constraint, “If a project is selected, we must buy the necessary machinery,” with the edge of infinity

    • Either the right or left side must be cut.
    • View not cutting the project edge as a “project choice”.
    • Cutting the edge of a machine is viewed as “buying a machine”.
    • If you have selected a project (not cutting an edge), you need to buy a machine (cutting an edge).
    • Not choosing a project = less income, buying a machine = cost, want to minimize this sum minimum cut
    • image
  • It can be interpreted as a question of choosing between two options. - LP, Graphs and Formulations

https://en.wikipedia.org/wiki/Max-flow_min-cut_theorem#Project_selection_problem


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