Reference - 8.1: Use the information given below to answer questions
Rob is a financial manager with Sharez, an investment advisory company. He must select specific investments-for example, stocks and bonds-from a variety of investment alternatives.
-Reference - 8.1. Restrictions on the type of permissible investments would be a _____ in this case.
A) feasible solution
B) surplus variable
C) slack variable
D) constraint

Question

Reference - 8.1: Use the information given below to answer questions 
Rob is a financial manager with Sharez, an investment advisory company. He must select specific investments-for example, stocks and bonds-from a variety of investment alternatives.
-Reference - 8.1. Restrictions on the type of permissible investments would be a _____ in this case.
A) feasible solution
B) surplus variable
C) slack variable
D) constraint

Quizplus · Accepted Answer

The constraints, in portfolio selection problems, usually take the form of restrictions on the type of permissible investments, state laws, company policy, maximum permissible risk, and so on.