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NS( CM) 74 D-C+3S-M<0 6) According to above Problem B, suppose that Ivana has decided that at least 50% of the total investme
PROBLEM B: Ivana Myrocle wishes to invest her inheritance of $200,000 so that her return on investment is maximized, but she
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Answer #1

6:

The answer will be option “C” i.e. C+M>=0.5(C+S+M)

Explanation: this constraints show that at least 50% of the total investment must be made in CD and money market.

The left side of the constraint is C+M and this shows the amount invested in CD and money market. The right side of the constraint is 0.5(C+S+M) and this shows 50% of the total investment. The sign “>=” is representative of the criteria ‘at least’.

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