2. DYNAMIC PROGRAMMING Investment Problem $1,000 to invest in bonds, rare coins and antiques. Investment Value Return Bonds $200 $20 Rare Coins $250 $35 Antiques $320 $56 Use DP to determine how best to invest the $1,000 to maximize return. 3. INVENTORY XYZ Trading Company employs several silversmiths to handcraft silver and turquoise jewelry. It uses 16,000 ounces of sterling silver annually. Sandia's carrying cost is 10 percent. Three vendors (metal dealers) have offered to supply the silver. The unit product costs, terms of sale, and associated ordering costs vary according to the vendor chosen, as shown below. Vendor Unit Cost ($/ounce) Ordering Cost ($) Terms of Sale A 6.10 30 Min order quantity is 1,600 ounces B 6.30 25 Purchases must be in lots of 200 ounces C 5.90 27 Min. order quantity is 1,800 ounces a. From which vendor should XYZ Co. purchase its silver? b. Specify the optimal inventory policy, assuming a lead time of 5 days and that XYZ company operates 250 days per year. 4. GAME THEORY Consider the following mixed strategy game: Player 2 Strategies A B Player 1 Strategies 1 120 145 2 130 115 3 118 160 a. Determine the initial strategy each player would adopt. b. Use the method of subgames to solve for the optimal strategies