Consider is the amount invested in treasury bills.
is the amount invested in treasury bonds.
is the amount invested in corporate bonds.
The total investment equation is .
Annual income equation is .
Condition on investment equation is .
.
Definition of augment matrix :
\If are the system of equations then the augmented matrix is
.
Augment matrix of the system of equations is .
Apply and
.
Apply .
Apply and
Apply .
Apply and
.
.
Therefore, carletta should invest in treasury bills,
in treasury bonds and
in corporate bonds.
Carletta should invest in treasury bills,
in treasury bonds and
in corporate bonds.