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TradeCo wants to invest at most $10,000 in 2021. Two investment options are proposed: STK and BD, with annual yields of 20% and 10% respectively.
TradeCo wants to invest at most $10,000 in 2021. Two investment options are proposed: STK and BD, with annual yields of 20% and 10% respectively. Based on market research, TradeCo wishes to limit the amount invested in STK to no more than 60% of the total investment. How should TradeCo invest to generate the highest annual yield?
Develop an LP model that represents the problem. Please clearly state decision variables, objective and constraints. You do not need to solve it.
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