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A pension fund manager decides to invest a total of at most $ 3 5 million in U . S . Treasury bonds paying 6
A pension fund manager decides to invest a total of at most $ million in US Treasury bonds paying annual interest and in mutual funds paying annual interest. He plans to invest at least $ million in bonds and at least $ million in mutual funds. Bonds have an initial fee of $ per million dollars, while the fee for mutual funds is $ per million. The fund manager is allowed to spend no more than $ on fees. How much should be invested in each to maximize annual interest? What is the maximum annual interest?
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