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Portfolio Manager Max Gaines Needs to Develop an Investment Portfolio

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Essay

Portfolio manager Max Gaines needs to develop an investment portfolio for his clients who are willing to accept a moderate amount of risk. His task is to determine the proportion of the portfolio to invest in each of the five mutual funds listed below so that the portfolio provides an annual return of no less than 3%. Formulate the appropriate linear program.
Portfolio manager Max Gaines needs to develop an investment portfolio for his clients who are willing to accept a moderate amount of risk. His task is to determine the proportion of the portfolio to invest in each of the five mutual funds listed below so that the portfolio provides an annual return of no less than 3%. Formulate the appropriate linear program.


Definitions:

Management Representation

Involves higher-level managers or executives representing the interests and policies of the management, often in negotiations or organizational communications.

Non-smoking Employees

Workers who do not engage in the act of smoking tobacco or using smoking-related products, potentially contributing to a healthier workplace environment.

Health Care Costs

The expenses associated with medical treatment and services, including insurance premiums, medications, and procedures.

Absenteeism

Refers to the habitual non-attendance of employees at their jobs without valid reasons.

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