Question: Please show and explain steps and answer. Blair & Rosen, Inc. (B8R) is a brokerage firm that specializes in investment portfolios designed to meet the

 Please show and explain steps and answer. Blair \& Rosen, Inc.
(B8R) is a brokerage firm that specializes in investment portfolios designed to
Please show and explain steps and answer.

Blair \& Rosen, Inc. (B8R) is a brokerage firm that specializes in investment portfolios designed to meet the specific risk tolerahces of its clients. A client who contacted BaR this past week thas a maximum of $55,000 to invest. BsR's investment advisor decides to recommend o portfotio consisting of two linvestment funds: an tinternet fund and Blue Chip fund. The Internet fund has a projected annual return of 12%, and the Blue Chip fund has a projected annual return of 9%. The investment adviscr requires that at most $25,000 of the client's funds should be invested in the Internet fund. B\&R services include a risk rating for each investment alternative. The Internet fund, which is the more risky of the two investment alternatives, has a risk rating of 5 per thousand dollars invested. The Biue Chip fund has a risk rating of 5 per thousand dollars Invested. For example, if $10,000 is invested in each of the two investment funds, B8R's risk rating for the portfoilo would be 5(10)+5(10)=100. Finally, B8R developed a questionalie to measure each client's risk tolerance. Based on the responses, each client is classifed as a conservative, moderate, or aggressive investor. Suppose that the questionnaire results classified the current client as a moderate investor. Bsq recommends that a client who is a moderate investor limit his or her portfollo to a maximum tisk rating of 250 . (a) Formulate a linear programming model to find the best investment strategy for this client. Let I= internet fund investment in thousands B= Blue Chip fund investment in thousands If required, round your answers to two decimal places. If an amount is zero, enter " 0 ". If the constant is " 1 " it must be enkered in the box. (b) Build a spreadsheet model and solve the problem using Solver. What is the recommended investment portfolio for this client? Internet Fund =; Blue Chip Fund w What is the annual return for the portfolio? b) Build a spreadsheet model and solve the problem using Solver. What is the recornmended investment portfolio for this client? Internet Fund =$ Blue Chip Fund =$ What is the annual return for the portfolio? (c) Suppose that a second client with $55,000 to imvest has been classified as an aggressive investor. B8R recommends that the maximum portfolio risk roting for an aggressive investor is 310 . What is the recommended investment portfolio for this aggressive investor? Internet fund = s Blue Chip Fund =$ Annual Return =s (d) Suppose that a third client with $55,000 to invest has been classified as a conservative investor. BsR recommends that the maximum portfolio risk rating for a conservative investor is 150 . Develop the recommended investment portfolio for the conservative investor. If an amount is zero, enter " 0 ". Internet fund =5 Blue Chip Fund =$ Annual Return =5

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