A retired person wants to invest upto an amount of rs.30,000 in fixed income securities. His broker recommends investing in two bonds: bond a yielding 7% and bond b yielding 10%. After some consideration, he decides to invest at most of rs.12,000 in bond b and atleast rs.6,000 in bond
a. He also wants the amount invested in bond a to be atleast equal to the amount invested in bond
b. What should the broker recommend if the investor wants to maximize his return on investment?
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A retired person wants to invest upto an amount of rs.30,000 in fixed income securities. His broker recommends investing in two bonds: bond a yielding 7% and bond b yielding 10%. After some consideration, he decides to invest at most of rs.12,000 in bond b and atleast rs.6,000 in bond
a. He also wants the amount invested in bond a to be atleast equal to the amount invested in bond
b. What should the broker recommend if the investor wants to maximize his return on investment?
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