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An investment broker wants to invest up to $20,000. She can purchase a AAA bond yielding a 10% return on the amount invested, and she can purchase a BB bond yielding a 15% return on the amount invested. She wants to invest at least as much in the AAA bond as in the BB bond. She will also invest at least $5,000 in the AAA bond, and no more than $8000 in the BB bond. How much should she invest in each type of bond to maximize her return? What is the maximum profit?
This document contains various important questions and their appropriate answers in the subject field of Economics.
Economics is the study of the principles governing the allocation of scarce means among competing ends when the objective of the allocation is to maximize the attainment of the ends.
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