Formulate an lp model for problem

Assignment Help Business Management
Reference no: EM133025285

A trust officer at the Blacksburg National Bank needs to determine how to invest $100,000 in the following collection of bonds to maximize the annual return.

Bond Annual return Maturity risk Tax-Free

A 9.5% Long High Yes
B 8.0% Short Low Yes
C 9.0% Long Low No
D 9.0% Long High Yes
E 9.0% Short High No

The officer wants to invest at least 50% of the money in short-term issues and no more than 50% in high-risk issues. At least 30% of the funds should go in tax-free investments and at least 40% of the total annual return should be tax free.

a. Formulate an LP model for this problem.

b. Create a spreadsheet model for this problem and solve it using Excel Solver.

c. What is the optimal solution?

Reference no: EM133025285

Questions Cloud

Identify key performance indicators for strategic goal : Monitoring performance is the most neglected component of strategic planning.
CIS 101 Navigating a Digital World Assignment : CIS 101 Navigating a Digital World Assignment - Using Digital Tools to Virtually Communicate, Strayer University, USA - Share a little bit about yourself
Justify the conflict resolution style : Reflect on your experience working in a team for this subject's group assignment. With reference to the organisational behaviour literature
How much is the cost of product : Task A: Think of a product that you think will be very useful to the consumers in their daily living. And then after creating or thinking of a product, answer t
Formulate an lp model for problem : A trust officer at the Blacksburg National Bank needs to determine how to invest $100,000 in the following collection of bonds to maximize the annual return.
Determining the employee engagement and job satisfaction : Problem: The five companies in the top 100 Best Places to Work I chose are Salesforce, Red Hat Inc., Atlassian Inc., Workiva, and HP Inc.
Assignment on business analytics : The following assignment should be completed for BADM299 in Microsoft Excel, Access and Word 2016.
Navigating ethical issues involving working standards : Problem: Navigating ethical issues involving working standards and conditions in manufacturing during the COVID-19 pandemic has been complex.
Global marketing strategies of companies : Problem: William Greiders (1997) had made some observations about the world economy. In addition to those observations, discuss any other observations/pattern/t

Reviews

Write a Review

Business Management Questions & Answers

  Name a time where you have demonstrated leadership

Please answers to these questions with step by step explanations. 1: Name a time where you have demonstrated leadership.

  Complex major military equipment developments

"Discuss how executive decision making is conducted for complex major military equipment developments. Give some real world examples."

  Healthcare quality assurance article reviews

Visit the U.S. Department of Health and Human Services Agency for Healthcare Research and Quality website. On the screen page, under the heading "Topics," choose one of the following:

  California league of professional baseball

Then, explain how the distraction doctrine may apply to alter the outcome of such a case. Be sure to reference Lowe v.

  Discuss quality management

Discuss quality management, the evolution of the quality improvement movement, and implications of public health for health care organizations

  Executive sense of ownership extrinsic and intrinsic

executive sense of ownership extrinsic and intrinsic motivatorscommunication is a huge factor in giving these

  Explain five practices of effective leaders by kouzes

Students evaluate their leader by analyzing the leader's behaviors using the Five Practices of Effective Leaders by Kouzes and Posner; Students should have approximately one page of analysis for each practice.

  Pete driving at an excessive rate

The ATV manufacturer claims that the ATV is not defectively designed and that the rollover was caused by Pete driving at an excessive rate of speed around a corner.

  Assess the probability that the lease option results

The purchase price of the car is $43,240, or the car can be leased for 24 months for a monthly payment of $458, with a $7,500 down-payment.

  Stolen a competitor key salesperson

Have Apple.inc bought a company, introduced a new product, stolen a competitor's key salesperson, or licensed a new technology from a start-up?

  Discuss the management skills necessary

Analyse the extract above and discuss the management skills necessary for a turnaround as well as the additional challenges

  Considering five common quantitative research design covered

Considering the five common quantitative research designs covered in this weeks reading material, state your updated research purpose statement based on Week 2

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd