Solve the problem for investment amounts. then make sure, Ask an Expert

Management Studies

Make your assumptions clear and show all work.

A retired contractor has $120,000 to spend in two investment funds. Fund 1 is relatively safe investment with the annual return of 9% and Fund 2 is more risky with the annual return of 13%. Her goals are to spend all her funds and to earn $12,000 in annual income. You should find out how much must she invest in each fund to accomplish her goals.

a.) Point out below the equations you should use to work this problem, and describe what each equation tells you in full sentences.

b.) Solve the problem for investment amounts.

c.) Then make sure you check that your solution achieves her goals.

View complete question

Business Management, Management Studies

Category:- Business Management
Reference No.:- M914183

Have any Question?Write your Review or question?

Related Questions in Business Management

With respect to your use of the internet have you ever

With respect to your use of the Internet, have you ever taken a speculative risk? If yes, what was it? If no, would you ever consider taking it?

Considering the various components of strategy as they

Considering the various components of strategy as they relate to career development, who are career development strategic managers?

A leasing firm operates on the assumption that the annual

A leasing firm operates on the assumption that the annual number of miles driven in its leased cars is normally distributed with mean 13,500 and standard deviation 4,000 miles. To see whether this assumption is valid, a ...

The following normal curve represents scores from a

The following normal curve represents scores from a population on a test of musical ability. The population mean of the test is µ=60. The population standard deviation of the test is σ=14. What score (rounded to two deci ...

Problem 1 modify class account to provide a method called

Problem 1. Modify class Account to provide a method called debit that withdraws money from an Account. Ensure that the debit amount does not exceed the Account's balance. If it does, the balance should be left unchanged ...

Management of mega and complex projectsassiment about

Management of Mega and Complex Projects Assiment about Saharan mega project Aim: To develop a critical understanding of the complex character, causes, and consequences of success and failure as it relates to projects - p ...

Identify a leader that has used power and influence in a

Identify a leader that has used power and influence in a harmful way. Identify an additional leader who has used power and influence in a positive way. For both of these leaders, state your thoughts on their motives for ...

Read case 12-1 lorne inc beginning on page 354 of your

Read Case 12-1, Lorne Inc. beginning on Page 354 of your text. Using a minimum of 500 words, describe what recommendations should be made with respect to the Hexonic acid contract? Imagine if you were in the position of ...

Dinesh manages a division of a sporting goods manufacturer

Dinesh manages a division of a sporting goods manufacturer. He attends a conference and receives advice from four experienced managers. Based on what you have read, which of the following pieces of advice should Dinesh t ...

Is the companys personality-harvesting method ethical why

Is the company's personality-"harvesting" method ethical? Why, or why not? Should people who attempt to answer the questionnaire be advised, ahead of time, that the data collected from those questionnaires will be used t ...

4,153,160 Questions Asked
13,132 Experts
2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Recent Questions

Ask Business Management Expert