Credit union regulations require diversification to the


The Rio Credit Union has $ 250,000 available to invest in a? 12-month commitment and wants to invest all of it. The money can be placed in Brazilian treasury notes yielding an 12?% return or in riskier? high-yield bonds at an average rate of return of 9?%.

Credit union regulations require diversification to the extent that at least 40?% of the investment be placed in Treasury notes. It is also decided that no more than 30?% of the investment be placed in bonds.

The optimal ROI occurs? when:

?$ invested in Treasury notes? =

?(enter your response as a whole? number).

$ invested in Bonds? =

?(enter your response as a whole? number).

Optimal ROI value? =

?(enter your response as a whole? number).

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Operation Management: Credit union regulations require diversification to the
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