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Problem 3 - Investment Over Time Your sister and her fianc are planning on getting engaged (and later married) in the future. Wanting to start

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Problem 3 - Investment Over Time Your sister and her fianc are planning on getting engaged (and later married) in the future. Wanting to start saving up for the wedding costs, they ask you to help them invest their money in the hopes of having $60,000 saved four years from now. They also would like to withdraw $15,000 in a year to pay for the engagement rings. Besides their initial deposit, they also plan to make another deposit in three years as they are expected to receive an $8,000 settlement from a class-action lawsuit by then. There are one-year and two-year investments available for each year as well as a special three-year investment that becomes available in a year, shown in the diagram below. One-year investments return 2.5%, two-year investments return 6%, and the three-year investment return 10%. Formulate as a linear program using the variables that are listed on the diagram and solve to minimize the initial deposit your sister and her fianc must make. Deposit (X) Present X01 Withdrawal ($15,000) Xo2 Year 1 X12 X13 Year 2 X23 X14 Deposit ($8,000) X24 Year 3 X34 Withdrawal ($60,000) Year 4

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