Mike D. answered • 11/03/20
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Well suppose you invest x in A and y in B
Then
x>=0
y>=0
x+y <= 500000
y <= 0.40 (x+y)
Return = 0.12x + 0.16y
So plot the region given by the four constraints
At each of the vertices of this region, calculate the return
Choose the vertex with the largest return
Mike D.
The second constraint guarantees this . You must have misplotted the lines
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03/03/23
Mike D.
The 3 vertices on the feasible region are 0.0. 300000,200000. And 500000.0. The objective function at those points is 0 68000 and 60000 so we choose x 300000 y 200000
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03/04/23
Mike D.
The point 0 500000 is not in the feasible region
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03/04/23
Killian F.
The largest return is 500000 invested in y. But, you cannot invest more than 40% of 500000 in y. Something is awry03/03/23