Monday
April 21, 2014

Homework Help: Math

Posted by Nica on Saturday, September 17, 2011 at 12:10pm.

A winner of the Florida Lotto has decided to
invest $500,000 per year. Two possible
considerations are an international stock with an
estimated return of 12% and a mutual fund with an
estimated return of 6%. The estimated risk index for
the international fund is 9 while the mutual fund
risk index is only 4. The total risk of the portfolio is
found by multiplying the risk of each account by the
dollars invested in that option. The investor would
like to maximize the return on the investment, but
the average risk index of the portfolio should not be
higher than 6 based on the estimated retirement
date. How much should be invested in each option?
What is the average risk for this investment? What
is the estimated return for the investment?

Answer this Question

First Name:
School Subject:
Answer:

Related Questions

math - A winner of the Florida Lotto has decided to invest $500,000 per year. ...
COLLEGE MATH PLEASE HELP - What do i do when order matters!!?!? The Sad State ...
Math - Water covers approximately 11,800 mi squared of Florida, which is about ...
Lotto 5/90 maths - 35 7 85 33 40 - 60 74 25 19 2 what will this game produce for...
COLLEGE MATH - The Sorry State Lottery requires you to select 7 different ...
MATH PLEASE HELP - The Sorry State Lottery requires you to select 7 different ...
Managerial Economics - From Table 4-1 in the text, determine by how much the ...
Math - California residents received coupons for free lotto tickets. In order to...
Math - Suppose there is a bag containing 25 envelopes and 10 of the envelopes ...
math - The second place finisher in the canoe race lost to the winner by only 1/...

Search
Members