Question: Please show me how to run this optimization in excel 1 . 3 Portfolio Analysis Alumni Affairs invests in three different funds to maintain diversity:
Please show me how to run this optimization in excel
Portfolio Analysis
Alumni Affairs invests in three different funds to maintain diversity: a growth stock fund,
a money market fund and an income fund. Guidelines from the University Board of Directors
require that at least and no more than be invested in the growth fund, at least and
no more than be invested in the income fund and no less than be in the money market
fund.
The University Alumni Endowment has $ to invest and it has assigned the
following risks of losing money to each dollar invested in the funds: for growth; for
income and for money market. The University's risk tolerance is a maximum of on its
portfolio. The Bank of Charles Town Investment Service is forecasting annual yields of for
growth, for income and for money market. Your task is to create a linear
programming model that will maximize the return for the University subject to the constraints.
Business Plan
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