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1. Determine the investment portfolio composition for Kents eastern branch that would maximize the expected effective yield while satisfying the restriction imposed by the parent.

1. Determine the investment portfolio composition for Kents eastern branch that would maximize the expected effective yield while satisfying the restriction imposed by the parent. 2. What is the expected effective yield of the investment portfolio? 3. Based on the expected effective yield for the portfolio and the initial investment amount of $15 million, determine the annual interest to be earned on the portfolio. 4. Determine the financing portfolio composition for Kents western branch that would minimize the expected effective financing rate while satisfying the restric- tion imposed by the parent. 5. What is the expected effective financing rate of the total amount borrowed? 6. Based on the expected effective financing rate for the portfolio and the to

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