Blair Rosen, Inc. (BR) is a brokerage firm that specializes in investment portfolios designed to meet the specific risk tolerances of its clients. A dient who contacted BAR this past week has a maximum of $50,000 to invest B&R's investment advisor decides to recommend a portfolio consisting of two investment funds: an Internet und and a liveChip fund. The Internet fund has a projected annual return of 12%, and the Blue Chip fund has a projected annual return of 9. The investment advisor requires that at most $35,000 of the client's funds should be invested in the Internet fund. BAR services include a risk rating for each investment alternative. The internet ind, which is the more y of the two investment alternatives, rating of 6 per thousand dollars invested. The Blue Chip fund as a risk rating of 4 per thousand dollar invested. For example, $10,000 is invested in each of the two investment funds, BAR's risk rating for the portfolio would be 6(10) 4(10) - 100. Finally, to developed a questionnaire to measure each client's risk tolerance. Based on the responses, cache classified as a conservative, moderate, or aggressive investor Suppose that the questionnaire results classified the current dient as a moderate investor a recommends that a cene who is a moderate investor limit his or her portfolio to a maximum risk rating of 240. (-) Formulate a linear programming model to find the best investment strategy for this client Let Internet fund investment in thousands Blue Chip fund investment in thousands It required, round your answers to two decimal places. If the constant is l" t must be entered in the box. If your answer is zero enter.no Max 0.12 0.09 GE 1 1 5 SO Available investment funds 1 1 D Maximum investment in the internet fund 5 35 6 Maximum risk for a moderate Investor 5 240 LA 2 D (b) Bulld spreadsheet model and solve the problem using Solver. What is the recommended investment portfolio for this dient? (b) Build a spreadsheet model and solve the problem using Solver What is the recommended investment portfol for this cent? Internet Fund - 30000 Blue Cho Fund 55000 What is the annual return for the portfolio 10000 (c) Suppose that a second client with $50,000 to invest has been classified as an aggressive investor Brecommend that the maximum portfolio risk rating are investeris 320. What is the recommended investment portfolio for this agressive investor? Internet Fund - Blue Chip Fund - 5500 D Annual Return 3540 (d) Suppose that third dient with 450,000 to invest has been called as a conservative westor. BBR recommend that the maximum portfolio Hokrating for conservative meters 160. Develop the recommended weatment portfolio for the conservative inwestor. If your answer is rero enter Internet Fund 35000 nius Cho Tund- 0000 Annual Returns 350 Partially correct Blair Rosen, Inc. (BR) is a brokerage firm that specializes in investment portfolios designed to meet the specific risk tolerances of its clients. A dient who contacted BAR this past week has a maximum of $50,000 to invest B&R's investment advisor decides to recommend a portfolio consisting of two investment funds: an Internet und and a liveChip fund. The Internet fund has a projected annual return of 12%, and the Blue Chip fund has a projected annual return of 9. The investment advisor requires that at most $35,000 of the client's funds should be invested in the Internet fund. BAR services include a risk rating for each investment alternative. The internet ind, which is the more y of the two investment alternatives, rating of 6 per thousand dollars invested. The Blue Chip fund as a risk rating of 4 per thousand dollar invested. For example, $10,000 is invested in each of the two investment funds, BAR's risk rating for the portfolio would be 6(10) 4(10) - 100. Finally, to developed a questionnaire to measure each client's risk tolerance. Based on the responses, cache classified as a conservative, moderate, or aggressive investor Suppose that the questionnaire results classified the current dient as a moderate investor a recommends that a cene who is a moderate investor limit his or her portfolio to a maximum risk rating of 240. (-) Formulate a linear programming model to find the best investment strategy for this client Let Internet fund investment in thousands Blue Chip fund investment in thousands It required, round your answers to two decimal places. If the constant is l" t must be entered in the box. If your answer is zero enter.no Max 0.12 0.09 GE 1 1 5 SO Available investment funds 1 1 D Maximum investment in the internet fund 5 35 6 Maximum risk for a moderate Investor 5 240 LA 2 D (b) Bulld spreadsheet model and solve the problem using Solver. What is the recommended investment portfolio for this dient? (b) Build a spreadsheet model and solve the problem using Solver What is the recommended investment portfol for this cent? Internet Fund - 30000 Blue Cho Fund 55000 What is the annual return for the portfolio 10000 (c) Suppose that a second client with $50,000 to invest has been classified as an aggressive investor Brecommend that the maximum portfolio risk rating are investeris 320. What is the recommended investment portfolio for this agressive investor? Internet Fund - Blue Chip Fund - 5500 D Annual Return 3540 (d) Suppose that third dient with 450,000 to invest has been called as a conservative westor. BBR recommend that the maximum portfolio Hokrating for conservative meters 160. Develop the recommended weatment portfolio for the conservative inwestor. If your answer is rero enter Internet Fund 35000 nius Cho Tund- 0000 Annual Returns 350 Partially correct
