An investor has $749,000 to invest in bonds.  Bond A yields an average of 3% and the bond B yields 8%.  The investor requires that at least 5 times as much money be invested in bond A as in bond B.  You must invest in these bonds to maximize his return.  This can be set up as a linear programming problem.  Introduce the decision variables: x= dollars invested in bond A y= dollars invested in bond B Compute x+y. $                       .  Round to the nearest cent. Thanks!

College Algebra (MindTap Course List)
12th Edition
ISBN:9781305652231
Author:R. David Gustafson, Jeff Hughes
Publisher:R. David Gustafson, Jeff Hughes
Chapter6: Linear Systems
Section6.8: Linear Programming
Problem 33E
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An investor has $749,000 to invest in bonds.  Bond A yields an average of 3% and the bond B yields 8%.  The investor requires that at least 5 times as much money be invested in bond A as in bond B.  You must invest in these bonds to maximize his return.  This can be set up as a linear programming problem.  Introduce the decision variables:

x= dollars invested in bond A
y= dollars invested in bond B

Compute x+y.

$                       .  Round to the nearest cent.

Thanks!

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