A planner must choose a portfolio of investments for a client from the following list. Investment...

 

 

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A planner must choose a portfolio of investments for a client from the following list. Investment Expected return ABCDEFG A Cost $100,000 $5,600 $120,000 $8,000 $ 30,500 $3,120 $ 50,000 $4,000 $ 80,500 $6,000 $80,000 $5,120 G $40,000 $2,400 (0) The objective is to maximize the total expected return. (1) The client has up to $400,000 to invest in her portfolio. (2) If investment A is in the portfolio, then investment B must also be in the portfolio. (3) No more than four investments can be in the portfolio. (4) Exactly one of investments E, F and G must be in the portfolio. Model and solve this problem as an Integer linear programming problem; each decision variable must be a binary integer. Save your work; you may need it later in the exam. For this integer linear programming problem where all decision variables are binary, the optimal value of decision variable B is: A planner must choose a portfolio of investments for a client from the following list. Investment Expected return ABCDEFG A Cost $100,000 $5,600 $120,000 $8,000 $ 30,500 $3,120 $ 50,000 $4,000 $ 80,500 $6,000 $80,000 $5,120 G $40,000 $2,400 (0) The objective is to maximize the total expected return. (1) The client has up to $400,000 to invest in her portfolio. (2) If investment A is in the portfolio, then investment B must also be in the portfolio. (3) No more than four investments can be in the portfolio. (4) Exactly one of investments E, F and G must be in the portfolio. Model and solve this problem as an Integer linear programming problem; each decision variable must be a binary integer. Save your work; you may need it later in the exam. For this integer linear programming problem where all decision variables are binary, the optimal value of decision variable B is: