Assume That X2, X7 and X8 Are the Dollars Invested

question 66

Multiple Choice

Assume that x2, x7 and x8 are the dollars invested in three different common stocks from New York Stock Exchange. In order to diversify the investments, the investing company requires that no more than 60% of the dollars invested can be in "stock 2". The constraint for this requirement can be written as:

• A) x2 ≥ .60
• B) x2 ≥ .60 (x2 + x7 + x8)
• C) .4x2 - .6x7 - .6x8 ≤ 0
• D) .4x2 - .6x7 - .6x8 ≥ 0

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