Question
You have $1000 to invest. At the beginning of each year, you can invest your available money in three different plans, Plan 1, Plan 2
You have $1000 to invest. At the beginning of each year, you can invest your available money in three different plans, Plan 1, Plan 2 and Plan 3 (available money is money not blocked in a plan). Money put in Plan 1 is blocked for one year. After one year, you total interest rate is 5% (if you invested $100, you will have $105 after one year). Money put in Plan 2 is blocked for two years. After two years, you total interest rate is 12% (if you invested $100, you will have $112 after two years). Money put in Plan 3 is blocked for three years. After three years, you total interest rate is 19%. The planning horizon is 7 years. You want to maximize the available money at the end of the 7th year (again, available money means not blocked in a plan). Write a linear program that will solve the problem. Clearly define your variables, and add a short explanation of each constraint.
Do not need to solve the problem, just create the linear program
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