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An invester is considering three types of invertments: a high - risk venture into oil leases with a potential retum of 1 5 % ,
An invester is considering three types of invertments: a highrisk venture into oil leases with a potential retum of a mediumrisk investment in bonds with a return, and a relatively safe slock investment with return. He has $ to invest. Bocause of the risk, he will limit his investment in oil leases and bonds to and his investment in oil leases and stock to How much should he invest in each to maximize his retum, assuming investrnent returns ase as expected?
a Define the variables. Be specific with descriptive words.
b Clearly state the constraints all inequalities related to the fasible region.
c State the objective furetio
d Set up the initial simplex matrix necded to solve the lines progranuning problera using the Simplex Method.
c Perform all pivots nocessary using row operations to transform the marrix unail the solution is fasilhle.
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