Stock in Company A sells for ​$94 a share and has a​ 3-year average annual return of ​$24 a share. The beta value is 1.25. Stock in Company B sells for ​$83 a share and has a​ 3-year average annual return of ​$16 a share. The beta value is 1.12. Derek wants to spend no more than ​$16,000 investing in these two​ stocks, but he wants to earn at least ​$2700 in annual revenue. Derek also wants to minimize the risk. Determine the number of shares of each stock that Derek should buy.   Derek should buy ? share(s) of stock in company A snd share(s) of stock in company B   Please show corner points!

Algebra & Trigonometry with Analytic Geometry
13th Edition
ISBN:9781133382119
Author:Swokowski
Publisher:Swokowski
Chapter7: Analytic Trigonometry
Section7.6: The Inverse Trigonometric Functions
Problem 94E
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Stock in Company A sells for ​$94 a share and has a​ 3-year average annual return of ​$24 a share. The beta value is 1.25. Stock in Company B sells for ​$83 a share and has a​ 3-year average annual return of ​$16 a share. The beta value is 1.12. Derek wants to spend no more than ​$16,000 investing in these two​ stocks, but he wants to earn at least ​$2700 in annual revenue. Derek also wants to minimize the risk. Determine the number of shares of each stock that Derek should buy.

 

Derek should buy ? share(s) of stock in company A snd share(s) of stock in company B

 

Please show corner points!

 

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