The decision model of investment selection in family financing

By analyzing the composing of total investment net profit ratio and total risk ratio, it was presented that the computing method of total net profit ratio and total risk ratio, and it was built that the most excellent decision mode of capital investment selection in family financing. On the assumption that the total risk ratio is stated, the question of making the total net profit ratio maximum can be translated into the optimization question of which the target function is linear function and the restrictions are linear equation and inequation, then it can be resolved with the linear programming model in Matlab7.0.The result indicates that total net profit ratio is positively correlative to total risk ratio in some extension, when it exceeds some extension, though the total risk ratio increases, the total net profit ratio adds no.