Let each decision variable, A, P, M, H, and G, represent the fraction or proportion of the total investment placed in each investment alternative. Max 0.073A + 0.103P + 0.064M + 0.075H + 0.045G s.t. A + P + M + H + G = 1 0.5A + 0.5P - 0.5M - 0.5H <= 0 -0.5A - 0.5P + 0.5M + 0.5H <= 0 -0.25M - 0.25H + G >= 0 -0.6A + 0.4P >= 0 A, P, M, H, G <= 0 a. What fraction of the portfolio should be invested in each type of security (A, P, M, H, G)? b. How much should be invested in each type of security? c. What are the total earnings for the portfolio?
Let each decision variable, A, P, M, H, and G, represent the fraction or proportion of the total investment placed in each investment alternative.
Max 0.073A + 0.103P + 0.064M + 0.075H + 0.045G
s.t.
A + P + M + H + G = 1
0.5A + 0.5P - 0.5M - 0.5H <= 0
-0.5A - 0.5P + 0.5M + 0.5H <= 0
-0.25M - 0.25H + G >= 0
-0.6A + 0.4P >= 0
A, P, M, H, G <= 0
a. What fraction of the portfolio should be invested in each type of security (A, P, M, H, G)?
b. How much should be invested in each type of security?
c. What are the total earnings for the portfolio?
d. What is the marginal
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