An investor has money-making activities A and B available at the beginning of each of the next 5 years. Each dollar invested in A at the beginning of 1 year returns $1.50 (a profit of $0.50), 2 years later (in time for immediate re-investment).

Each dollar invested in B at the beginning of 1 year returns $1.70, 3 years later. In addition, investments C and D will each be available at one time in the future.

Each dollar investment in C at the beginning of year 2 returns $1.80 at the end of year 5.

Each dollar invested in D at the beginning of year 5 returns $1.50 at the end of year 5. Money not invested in a given year earns 2.5% annually. The investor begins with $100,000 and wishes to know which investment plan maximizes cash balance at the beginning of year 6.

a) Please formulate this problem as a LP to find the maximum investment return at the beginning of year 6. O MUST define the decision variables first! Then, identify the objective function and constraints.

b) Solve the problem using LINDO or Solver and attach the output

c) Explain your investment plan; such as how much you invest in which activities at each year, etc.