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An investment advisor currently has two types of investments available for clients: a conservative investment A that pays 6% per year and investment B
An investment advisor currently has two types of investments available for clients: a conservative investment A that pays 6% per year and investment B of higher risk that pays 13%. Clients may divide their investments between the two to achieve any total return desired between 6% and 13%. However, the higher the desired return, the higher the risk. How should each client listed in the table invest to achieve the desired return? Total Investment Client 1 Client 2 Client 3 k $28000 $48000 $32000 k Annual Return Desired $2590 $4560 $2760 k2 How much money should Client 1 invest in each account to achieved the desired return? Amount in investment A: Amount in investment B: How much money should Client 2 invest in each account to achieved the desired return? Amount in investment A: Amount in investment B: How much money should Client 3 invest in each account to achieved the desired return? Amount in investment A: Amount in investment B:
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