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Problem 3: Jackie Russell Investment Over Time Jackie Russell wants to develop a linear program to optimize their personaI finances. Currently, Jackie has $12,000 in
Problem 3: Jackie Russell Investment Over Time Jackie Russell wants to develop a linear program to optimize their personaI finances. Currently, Jackie has $12,000 in savings. Based on an analysis of Jackie's take-home pay, expected bonuses, and anticipated tax refund, Jackie has estimated an income for each month over the next year. In addition, Jackie has estimated monthly expenses, which vary because of scheduled payments for insurance, utilities, tuition, books, etc. The following table summarizes Jackie's estimates: Jackie has identified several short-term investment opportunities. There are no limits (minimums or maximums) on any of the short-term investments. - A three-month certificate of deposit (CD) yielding 0.70% at maturity may be purchased in January, February, March, April, May, June, July, August, and/or September. - A six-month certificate of deposit (CD) yielding 1.52\% at maturity may be purchased in January, February, March, April, May, and/or June. - An eleven-month certificate of deposit (CD) yielding 3.18% at maturity may be purchased in January. - Any monies not invested in a CD will be invested in a savings account yielding 0.0525% per month. To ensure enough cash for emergencies, Jackie would like to maintain at least $1,875 every month in the savings account. Assume that any money not invested in CDs will be invested in the savings account. Formulate as a linear program to maximize Jackie's cash balance at the end of the year
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