Formulate a linear programming model that can be used to


Michael has decided to invest $40,000 in three types of funds. Fund A has projected an annual return of 8 percent, Fund B has projected an annual return of 10 percent, and Fund C has projected an annual return of 9 percent. He has decided to invest no more than 30 percent of the total amount in Fund B and no more than 40 percent of the total amount in Fund C.

  • Formulate a linear programming model that can be used to determine the amount of investments Michael should allocate to each type of fund to maximize the total annual return.
  • How much should be allocated to each type of fund? What is the total annual return? Provide solver screenshot.

Solution Preview :

Prepared by a verified Expert
Operation Management: Formulate a linear programming model that can be used to
Reference No:- TGS01733397

Now Priced at $20 (50% Discount)

Recommended (95%)

Rated (4.7/5)