Explain exceed the amount invested in auto loans, Operation Management

Assignment Help:

A bank is attempting to determine where its assets should be invested during the current year. At present, $500,000 is available for investment in bonds, home loans, auto loans, and personal loans. The annual rates of return on each type of investment are known to be the following: bonds, 10%; home loans, 16%; auto loans, 13%; personal loans, 20%. To ensure that the bank's portfolio is not too risky, the bank's investment manager has placed three restrictions on the bank's portfolio: • The amount invested in personal loans cannot exceed the amount invested in bonds. • The amount invested in home loans cannot exceed the amount invested in auto loans. • No more than 25% of the total amount invested may be in personal loans.


Related Discussions:- Explain exceed the amount invested in auto loans

Differentiation scheme that focuses on quality products, XYZ's Inc. Schedul...

XYZ's Inc. Scheduling System Started in Jacksonville, Indiana in 1983 at Mick's Lounge, where Papa John, John Schnatter, started a pizza delivery business within his father'

Explain how can healthcare service providers avoid claims, Part I: Avoid cl...

Part I: Avoid claims rejections A payer may delay or deny payment because of inaccurate or missing information in a submitted claim. Many contracts require payment within a spec

Explain implementing large database systems and data, What issues can organ...

What issues can organizations experience when implementing large database systems and data warehouses? What best practices would you recommend to an organization to mitigate these

Describe the impact of social networking, Discuss the impact of social netw...

Discuss the impact of social networking in computing today, and in the future five years

Tobacco Auction Floor, How best can you increase efficiency of a tobacco au...

How best can you increase efficiency of a tobacco auction floor

Explain projected return on the owner''s equity investment, Carter Dalton i...

Carter Dalton is well on his way to starting a new venture-- Max, Inc. He has projected a need for $350,000 in initial capital. He plans to invest $150,000 himself and either borro

Explain networking components for an rfid system, Identify the cost of hard...

Identify the cost of hardware, software, and networking components for an RFID system for your company. What factors should be considered? What are the key decisions that have to b

Explain for bill what an enterprise resource planning, Describe for Bill wh...

Describe for Bill what an Enterprise Resource Planning (ERP) solution would look like for his UMUC Pizza business and how his business could benefit from implementing an ERP soluti

Write Your Message!

Captcha
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