Question
A mortgage company owns the following 10 mortgages. Investors will purchase packages of mortgages worth at least $1 million. What is the maximum number of
A mortgage company owns the following 10 mortgages. Investors will purchase packages of mortgages worth at least $1 million. What is the maximum number of such packages that can be created from this set of mortgages?
| Mortgage | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | |
| Amount (in $1,000s) | $902 | $858 | $782 | $527 | $242 | $183 | $167 | $166 | $133 | $123 |
Use a spreadsheet model for this problem and use Solver's evolutionary algorithm to solve it. What is the optimal solution? (Considering potential packages numbered 1 through 10, let Pi be the number of the package to include mortgage i in.)
(P1, P2, P3, P4, P5, P6, P7, P8, P9, P10) =
What is the maximum number of packages worth at least $1 million that can be created from this set of mortgages?
Use values given in formula. Thank you.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started
Microeconomics For Today
Authors: Irvin B. Tucker
10th Edition
1337613061, 978-1337613064
