Formulate a linear programming problem that can be used to solve the folowing questionSuppose for an investment no more than $20,000 is placed in three mutual funds with annual returns of 5%, 9%, and 10, respectively Theinvestor requires an annual return of at least $1600 and wishes to minimize the risk. The second mutual fund is twice as risky as the first and thethird is 4 times as risky as the first. How should the money be alocated to minimize the risk? Let risk-+ 2+ deyX= amount of money in doilars invested in the first fundx amount of money in dollars invested in the second fundXy - amount of money in dollars invested in the third fundMinmize(objective function)Subject to(dollars available)(total investment return)Select0. x Select 0,Select O

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Answered: Formulate a linear programming problem…

Calculus: Early Transcendentals

8th Edition

ISBN:9781285741550

Author:James Stewart

Publisher:James Stewart

Chapter1: Functions And Models

Section: Chapter Questions

Problem 1RCC: (a) What is a function? What are its domain and range? (b) What is the graph of a function? (c) How...

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3. An investment broker wants to invest up to $20,000. She can purchase type A bond yielding a 10% return and she can purchase a riskier type B bond yielding a 15% return. She wants to invest at least as much in the type A bond as in the type B bond to reduce her risk. The minimum investment for the type A bond is $5,000, and there are only $8,000 worth of type B bonds available. How much should the broker invest in each type of bond to maximize her returns?
A dealer wishes to purchase a number of fans and sewing machines. He has only 5760 ETB to invest and has space for almost 20 items. A fan costs him 360 ETB and sewing machine 240 ETB. His expectation is that he can sell a fan at profit of 22 ETB and a sewing machine at a profit of 18 ETB. Assuming that he can sell all the items that he can buy, how should he invest his money in order to maximize his profit? (Note: ETB = Ethiopian Birr) Formulate it as a linear programming problem (LPP) Use the graphical method to solve it.
How can we interpret non-basic slack variables within an optimal solution? Select one or more: as the amount of uninvested money cannot be interpreted as possible increase in risk as exceeding the minimum requirement to invest in gold as the annual return on the total money invested as the difference between invested money in silver and in platinum
Sandra has at most $200,000 to invest in stocks, bonds, and money market funds. She expects annual yields of 15%, 10%, and 8%, respectively, on these investments. If Sandra wants at least $50,000 to be invested in money market funds and requires that the amount invested in bonds be greater than or equal to the sum of her investments in stocks and money market funds, determine how much she should invest in each vehicle to maximize the return on her investments. stocks $ bonds $ money market funds $ What is the maximum return?$_______ plz help im lost and have one chance
4. A manufacturer must decide how many chairs and tables to produce in a given week. It takes 2 hours to construct a chair and 3 hours to construct a table. The finishing process requires 2 hours for each chair and 2 hours for each table. There are 36 work hours available for construction and 28 work hours available for finishing. If the profit is $15 per chair and $25 per table, how many of each should be produced to maximize profit? Define your variables. HO 8 Find the Profit or Objective Function. Construction Find the Constraint equations. Do negatives make sense? 61 y Pt d for chairs for tables ho 21139036 X20 10 12 14 1618002 2 PCXIT ISXH59 The vertices of the feasible region. y 20 finish 2x+2y ≤28 Y= y=-2 3X+12
The contribution to profits and overhead per 100 feet of pipe is $34 for type 1 and $40 for type 2.- Formulate a linear programming model to determine how much of each type of pipe should be produced to maximize contribution to profits and to overhead, assuming that everything produced can be sold.- Find the optimal solution algebraically for the Moldex Company problem. What is the Z value when the decision variables have optimal values?
32. A hardware company sells a lot of low-cost, highvolume products. For one such product, it is equallylikely that annual unit sales will be low or high. Ifsales are low (30,000), the company can sell theproduct for $20 per unit. If sales are high (70,000),a competitor will enter and the company will be ableto sell the product for only $15 per unit. The variablecost per unit has a 20% chance of being $10, a 60%chance of being $11, and a 20% chance of being $12.Annual fixed costs are $20,000.a. Use simulation to estimate the company’s expectedannual profit.b. Find a 95% interval for the company’s annualprofit, that is, an interval such that about 95% ofthe actual profits are inside it.c. Now suppose that annual unit sales, variable cost,and unit price are equal to their respective expectedvalues—that is, there is no uncertainty. Determinethe company’s annual profit for this scenario.d. Can you conclude from the results in parts a and cthat the expected profit from a simulation is…

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