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Capacity constraints must be linked to binary variables to ensure logical consistency between machine activation and production. Simple capacity limits ($X_i \le C_i$) allow production even if the machine is not activated ($Y_i=0$), which would incur variable costs without paying the fixed setup cost.

Conditions: Machines have fixed setup costs.; Production is bounded by machine capacity.; Binary variables indicate machine activation.; The model must prevent production on inactive machines.

Capacity constraints must be linked to binary variables to ensure logical consistency between machine activation and production. Simple capacity limits ($X_i \le C_i$) allow production even if the machine is not activated ($Y_i=0$), which would incur variable costs without paying the fixed setup cost.

Conditions: Machines have fixed setup costs.; Production is bounded by machine capacity.; Binary variables indicate machine activation.; The model must prevent production on inactive machines.