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Optimization Problem: Choosing items in a budget

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    Optimization Problem: Choosing items in a budget

    I am trying to get excel to generate optimal scenarios based on two criteria (cost and rank). I've ranked a data set of 100 priced items in order of my preference to purchase. I am working within a budget of $1,000 and would like excel to help me identify the 5 best items (or different 5 item-combinations) to buy. The goal is to make a cost effective choice for which 5 items to buy. Without going over. Any help would be greatly appreciated.

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    Re: Optimization Problem: Choosing items in a budget

    Rank your items 100 to 1, with 100 being the most desirable. Then divide the cost by the rank, giving some measure of cost per unit desire. Then sort by that measure in ascending order, and the items at the top are the most effective purchases. Start at the top and include items unless they put you over your $1000 limit - in which case, skip to the next.
    Bernie Deitrick
    Excel MVP 2000-2010

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    Thanks for the tip!

    Are there any excel apps or programs that can output every possible combination of 5 items (that can work within the budget) and list those series in order of rank (from the most cost effective to least)?
    I want to avoid having to manually choose my combos, because its time intensive and ideally I want more than just one to choose from.

    Please help!


    Quote Originally Posted by Bernie Deitrick View Post
    Rank your items 100 to 1, with 100 being the most desirable. Then divide the cost by the rank, giving some measure of cost per unit desire. Then sort by that measure in ascending order, and the items at the top are the most effective purchases. Start at the top and include items unless they put you over your $1000 limit - in which case, skip to the next.

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    Re: Optimization Problem: Choosing items in a budget

    There is a nearly infinite number of different ways to choose 5 items from 100 items, so no algorithm will help beyond your creating and using some sort of value index to sort them in order of effectiveness.

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