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Mathematics, 21.09.2021 14:00 jailynleffel8
Exercise 6.12
(Solution on p. 113.)
Mr. Boutros wants to invest up to $20,000 in two stocks, Cal Computers and Texas Tools. The Cal
Computers stock is expected to yield a 16% annual return, while the Texas Tools stock promises
a 12% yield. Mr. Boutros would like to earn at least $2,880 this year. According to Value Line
Magazine's safety index (1 highest to 5 lowest), Cal Computers has a safety number of 3 and Texas
Tools has a safety number of 2. How much money should he invest in each to minimize the safety
number? Note: A lower safety number means less risk.
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Exercise 6.12
(Solution on p. 113.)
Mr. Boutros wants to invest up to $20,000 in two stocks,...
Mr. Boutros wants to invest up to $20,000 in two stocks,...
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