This assignment involves three nonlinear mathematical models. I need the three questions answered.
In doing so, I need to: 1. identify and apply the appropriate linear model, 2. explain how this model was selected, and 3. identify a best-case scenario from a generated selection of sensitivity profiles.
Theo Harris earns $55,000 a year and has $9,000 to invest in a portfolio. His investment alternatives and their expected returns are shown in the table below.
Employer’s retirement plan
Deferred income (retirement)
Unity mutual fund
Liberty mutual fund