Instructions Work Each Of The Following Problems In The Space Provided You Must Show All Work To Receive Full Credit 1 (48.42 KiB) Viewed 45 times
Instructions Work Each Of The Following Problems In The Space Provided You Must Show All Work To Receive Full Credit 2 (24.28 KiB) Viewed 45 times
Instructions: Work each of the following problems in the space provided. You must show all work to receive full credit. Simplify and clearly indicate all answers. Chapter 7 Lab 7.1-7.5 1. What are the advantages/disadvantages of solving this liner programming problem using the graphing method vs. the simplex method? Justify your answer. 4. An investor is considering three types of investments: a high-risk venture into oil leases with a potential return of 15%, a medium-risk investment in bonds with a 9% return, and a relatively safe stock investment with a 5% return. He has $50,000 to invest. Because of the risk, he will limit his investment in oil leases and bonds to 30% and his investment in oil leases and stock to 50%. How much should he invest in each to maximize his return, assuming investment returns are as expected? a. Define the variables. Be specific with descriptive words. yo 2N b. Clearly state the constraints (all inequalities) related to the feasible region. c. State the objective function. d. Set up the initial simplex matrix needed to solve the linear programming problem using the Simplex
c. Perform all pivots necessary using row operations to transform the matrix until the solution is feasible. f. How much should he invest in each to maximize his return, assuming investment returns are as expected?
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