Use the method of corners to solve the linear programming


Question: Use the method of corners to solve the linear programming problem . FINANCIAL ANALYSIS An investor has decided to commit no more than $80,000 to the purchase of the common stocks of two companies, company A and company B. He has also estimated that there is a chance of at most a 1% capital loss on his investment in company A and a chance of at most a 4% loss on his investment in company B, and he has decided that these losses should not exceed $2000. On the other hand, he expects to make a 14% profit from his investment in company A and a 20% profit from his investment in company B. Determine how much he should invest in the stock of each company in order to maximize his investment returns.

Solution Preview :

Prepared by a verified Expert
Mathematics: Use the method of corners to solve the linear programming
Reference No:- TGS02353052

Now Priced at $10 (50% Discount)

Recommended (90%)

Rated (4.3/5)