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Alabama Pension Fund manages the state pension system. The fund needs to invest the $ 3 5 , 0 0 0 , 0 0 0

Alabama Pension Fund manages the state pension system. The fund needs to invest the $35,000,000 provided by the State legislature this year. There are eight possible types of investments available. The expected annual return and the risk factor for each investment is listed below: Investment Type: Common Stock-Domestic, Common Stock-International, Common Stock-Small Cap, Commodities, Corporate Bonds, Real Estate, State Bonds, Venture Capital; Expected Annual Return: 12%,10%,14%,15%,8%,5%,6%,30%; Risk Factor: 2,1.5,2.25,2.5,1,0.5,0.75,5. The Alabama Pension Fund wants to maximize the expected annual return; however, the maximum acceptable risk is 1.25. Requirements: 1.Use solver to determine what percentage of the $35,000,000 should be invested in each investment type. There is NO user input cells in this problem. Remember to follow all items in the Excel Requirements document.

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