Mathematics, 21.08.2019 05:20, herchellann302
Blair & rosen, inc. (bbr) is a brokerage firm that specializes in investment portfolios designed to meet the specific risk tolerances of its clients. a client who contacted b& r this past week has a maximum of $55,000 to invest. b& r's investment advisor decides to recommend a portfolio consisting of two investment funds: an internet fund and a blue chip fund. the internet fund has a projected annual return of 17%, while the blue chip fund h a projected annual return of 8%. the investment advisor requires that at most $25,000 of the client's funds should be invested in the internet fund. b& r services include a risk rating for each investment alternative. the internet fund, which is the more risky of the two investment alternatives, has risk rating of 5 per thousand dollars invested. the blue chip fund has a risk rating of 5 per thousand dollars invested. for example, if $10,000 is invested in each of the two investment funds, b& r's risk rating for the portfolio would be 5(10) + 5(10) = 100. finally, b& r developed a nal to measure each client's risk tolerance. based on the responses, each client is classified as a conservative, moderate, or aggressive investor. suppos that the naire results classified the current client as a moderate investor. b& r recommends that a client who is a moderate investor limit his or her portfolio to a maximum risk rating of 240. (a) formulate a linear programming model to find the best investment strategy for this client. let i = internet fund investment in thousands b = blue chip fund investment in thousands if required, round your answers to two decimal places. max 0.21 + 0.09 st. 50 35 available investmer funds maximum investmer in the internet fund maximum risk for a moderate investor 4 s 240 ib mo (b) build a spreadsheet model and solve the problem using solver. what is the recommended investment portfolio for this client? internet fund 3 - 2 0 blue chip fundas 30 what is the annual return for the portfolio? $ 5.1 (c) suppose that a second client with $55,000 to invest has been classified as an aggressive investor. b& r recommends that the maximum portfoli risk rating for an aggressive investor is 350. what is the recommended investment portfolio for this aggressive investor? internet fund =s 50,000 blue chip fundas 15000 annual returns 9000 (d) suppose that a third client with $55,000 to invest has been classified as a conservative investor. b& r recommends that the maximum portfolio risk rating for a conservative investor is 150. develop the recommended investment portfolio for the conservative investor. internet fund = 0 blue chip funds 4 annual returns 3 600
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Mathematics, 21.06.2019 18:00, abhibhambhani
Mozart lenses inc. recently introduced seelites, a thinner lens for eyelasses. of a sample of 800 eyeglass wearers, 246 said they would purchases their next pair of eyeglasses with the new lenses. lenses inc. estimates that the number of people who purchase eyeglasses in a year is 1,700,000. most eyeglasses wearer buy one new pair of eyeglasses a year. what is the annual sales potential for the new lenses.
Answers: 1
Blair & rosen, inc. (bbr) is a brokerage firm that specializes in investment portfolios designe...
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