A business executive has the option to invest money in two plans: Plan A guarantees that each
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A business executive has the option to invest money in two plans: Plan A guarantees that each dollar invested will earn $.70 a year later, and plan B guarantees that each dollar invested will earn $2 after 2 years. In plan A, investments can be made annually, and in plan B, investments are allowed for periods that are multiples of 2 years only. How should the executive invest $100,000 to maximize the earnings at the end of 3 years?
Solve the model using Solver or AMPL.
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