An Investment Company Currently Has 1 Million Dollars Available for Investment

Essay

An investment company currently has 1 million dollars available for investment in five different stocks.The company wants to maximize the interest earned over the next year.The five investment possibilities along with the expected interest earned are shown below.To manage risk,the investment firm wishes to have at least 35% of the investment in stocks A and B.Furthermore,no more than 15% of the investment may be in stock E.Model and solve this problem in Excel.
$$\begin{array} { l c } \text { Investment } & \text { Expected Interest Earned (\%) } \\ \text { Stock A } & 7 \\\text { Stock B } & 9 \\\text { Stock C } & 8 \\\text { Stock D } & 10 \\\text { Stock E } & 11\end{array}$$