An Investor Has $300,000 to Invest in Two Types of Investments.Type

Multiple Choice

An investor has $300,000 to invest in two types of investments.Type A pays 5% annually and type B pays 7% annually.To have a well-balanced portfolio, the investor imposes the following conditions.At least one-third of the total portfolio is to be allocated to type A investments and at least one-third of the portfolio is to be allocated to type B investments.What is the optimal amount that should be invested in each investment?

A) $100,000 in type A (5%) , $200,000 in type B (7%)
B) $0 in type A (5%) , $300,000 in type B (7%)
C) $200,000 in type A (5%) , $100,000 in type B (7%)
D) $300,000 in type A (5%) , $0 in type B (7%)
E) $110,000 in type A (5%) , $190,000 in type B (7%)