Question: Example 6) A restaurant chain is planning to construct a new building and it needs $280,000. The construction will last for 6 months during which

Example 6) A restaurant chain is planning to

Example 6) A restaurant chain is planning to construct a new building and it needs $280,000. The construction will last for 6 months during which $75,000 will be paid at the end of 2nd and 4th months and $130,000 will be paid at the end of the 6th month. The manager of the chain is going to make some investment in a portfolio of the following instruments today and use this capital and its returns to construct the building. The following information is available about these instruments: Construct an LP to help the manager of the chain to determine the minimum amount of investment to be made so as to finance the construction

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