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[Help-glpk] A financial optimization problem
From: |
Reginald Beardsley |
Subject: |
[Help-glpk] A financial optimization problem |
Date: |
Wed, 14 Nov 2012 15:02:22 -0800 (PST) |
Can someone point me to information on how to setup the following optimization
problem? It seems to me a not unusual problem and there are a lot of smart
people who follow this list.
I'm interested in buying an income producing property. I currently have the
purchase price in an IRA from which I can withdraw money w/o penalty. However,
I will have to pay income tax on what I withdraw.
An option would be to borrow money and then withdraw money from the IRA to pay
off the loan.
Given:
current income
rental income from acquired property
tax rate schedule
withdrawal rate
interest rate
repayment schedule
Minimize:
sum of tax & debt service
Thanks,
Reg
- [Help-glpk] A financial optimization problem,
Reginald Beardsley <=