An exact algorithm is proposed for the 0-1 collapsing knapsack problem
as defined by Guignard and Posner. Bounding of the number of variable
s equal to 1 in an optimal solution is extensively used, as well as in
ner- and outer-linearization of the nonlinear right-hand side of the c
onstraint. This allows generally a drastic reduction of the feasible d
omain. An implicit enumeration scheme solves the problem reduced by th
e preprocessing phase. Computational experiments are reported on.