Freaudian Analysis
BSTA 450 - Review Sheet - Test 2
1. Consider the following linear programming problem: Maximize Z = 400 x + 100y Subject to 8 x + 10y ≤ 80 2 x + 6y ≤ 36 x≤ 6 x, y ≥ 0
BSTA 450
Find the optimal solution using the graphical method (use graph paper). Identify the feasible region and the optimal solution on the graph. How much is the maximum profit? Consider the following linear programming problem: Minimize Z = 3 x + 5 y (cost, $) subject to 10 x + 2 y ≥ 20 6 x + 6 y ≥ 36 y ≥ 2 x, y ≥ 0 Find the optimal solution using the graphical method (use graph paper). Identify the feasible region and the optimal solution on the graph. How much is the minimum cost? 2. The Turner-Laberge Brokerage firm has just been instructed by one of its clients to invest $250 000 for her, money obtained recently through the sale of land holdings in British Columbia. The client has a good deal of trust in the investment house, but she also has her own ideas about the distribution of the funds being invested. She requests that the firm select whatever stocks and bonds they believe are well rated but within the following guidelines: 1. At least 20% of the investment should be in accounts with only Canadian content. 2. At least 40% of the investment should be placed in a combination of U.S. electronics firms, aerospace firms, and pharmaceutical companies. 3. No more than 50% of the invested amount should be in precious metals. 4. Ratio of aerospace to pharmaceutical investment should be at least 2 : 1 . Subject to these restrains, the client’s goal is to maximize projected return on investments. The analysts at Turner-Laberge, aware of these guidelines, prepare a list of high-quality stocks and bonds and their corresponding rates of return. Projected Rate of Return (%) Investment 3. Canadian RRSP Thompson Electronics, Inc. (USA) United Aerospace Corp. (USA) Palmer Pharmaceuticals (USA) Alberta Gold Mines (Canada) Formulate this portfolio selection problem using LP. 5.3 6.8 4.9 8.4 11.8
1. Consider the following linear programming problem: Maximize Z = 400 x + 100y Subject to 8 x + 10y ≤ 80 2 x + 6y ≤ 36 x≤ 6 x, y ≥ 0
BSTA 450
Find the optimal solution using the graphical method (use graph paper). Identify the feasible region and the optimal solution on the graph. How much is the maximum profit? Consider the following linear programming problem: Minimize Z = 3 x + 5 y (cost, $) subject to 10 x + 2 y ≥ 20 6 x + 6 y ≥ 36 y ≥ 2 x, y ≥ 0 Find the optimal solution using the graphical method (use graph paper). Identify the feasible region and the optimal solution on the graph. How much is the minimum cost? 2. The Turner-Laberge Brokerage firm has just been instructed by one of its clients to invest $250 000 for her, money obtained recently through the sale of land holdings in British Columbia. The client has a good deal of trust in the investment house, but she also has her own ideas about the distribution of the funds being invested. She requests that the firm select whatever stocks and bonds they believe are well rated but within the following guidelines: 1. At least 20% of the investment should be in accounts with only Canadian content. 2. At least 40% of the investment should be placed in a combination of U.S. electronics firms, aerospace firms, and pharmaceutical companies. 3. No more than 50% of the invested amount should be in precious metals. 4. Ratio of aerospace to pharmaceutical investment should be at least 2 : 1 . Subject to these restrains, the client’s goal is to maximize projected return on investments. The analysts at Turner-Laberge, aware of these guidelines, prepare a list of high-quality stocks and bonds and their corresponding rates of return. Projected Rate of Return (%) Investment 3. Canadian RRSP Thompson Electronics, Inc. (USA) United Aerospace Corp. (USA) Palmer Pharmaceuticals (USA) Alberta Gold Mines (Canada) Formulate this portfolio selection problem using LP. 5.3 6.8 4.9 8.4 11.8