A study was conducted to suggest optimal resources allocation i.e. land and water using linear programming model for Amravati district in Maharashtra State. Considering the land capability classification, availability of water in different seasons, crop water requirements, food requirements of the district, affinity towards the crops and investment capacity of peoples, crop plan was developed to maximize the net return. In existing crop plan during kharif season major area is under cotton (32.41%) followed by soybean (20.19%) whereas in proposed optimal crop plan without capital constraints major area was allocated under soybean (30%), cotton (10%) and jowar (10%) of cultivable area. In rabi major area in existing crop plan is under gram (5.2%) whereas in proposed plan area is allocated to wheat (30%) followed by gram (27%). In existing crop plan gross investment and net return were Rs. 9,268 and Rs. 4,906 per ha where as in proposed plan Rs. 16,057 and Rs. 9,642 per ha. Thus increases net return by Rs. 4,362 by increasing gross investment of Rs. 6,415 per ha.