Michael has decided to invest $40,000 in three types of funds. Fund A has projected an annual return of 8 percent, Fund B has projected an annual return of 10 percent, and Fund C has projected an annual return of 9 percent. He has decided to invest no more than 30 percent of the total amount in Fund B and no more than 40 percent of the total amount in Fund C.
Formulate a linear programming model that can be used to determine the amount of investments Michael should allocate to each type of fund to maximize the total annual return.
Flag question: Question 1
Question 11 pts
How many decision variables are included?
Group of answer choices
40,000
3
2
4
Flag question: Question 2
Question 21 pts
How many constraints are there, including the nonnegativity constraints?
Group of answer choices
5
6
4
3