fomulate the LP Model; identify the decision variables used in the model; and determine the optimal solution using graphical method. A trust fund is planning to invest up to Php60000 in two types of bonds.: A and B. Bond A is safer than bond B and carries a dividend of 8% while bond B carries a dividend of 10%. Suppose that the bond’s rule state that no more than $40000 may be invested in bond B, while at least $15000 must be invested in bond A. The amount invested in bond B cannot exceed one half the amount invested in bond A. How much should be invested in each type of bond to maximize the fund’s return?

Algebra & Trigonometry with Analytic Geometry
13th Edition
ISBN:9781133382119
Author:Swokowski
Publisher:Swokowski
Chapter9: Systems Of Equations And Inequalities
Section: Chapter Questions
Problem 13T
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  1. fomulate the LP Model;
  2. identify the decision variables used in the model; and
  3. determine the optimal solution using graphical method.

A trust fund is planning to invest up to Php60000 in two types of bonds.: A and B. Bond A is safer than bond B and carries a dividend of 8% while bond B carries a dividend of 10%. Suppose that the bond’s rule state that no more than $40000 may be invested in bond B, while at least $15000 must be invested in bond A. The amount invested in bond B cannot exceed one half the amount invested in bond A. How much should be invested in each type of bond to maximize the fund’s return?

 

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