\n A retired couple has $160,000 to invest to obtain annual income. They want some of it invested in safe Certificates of Deposit yielding 6%. The rest they want to invest in AA bonds yielding 11% per year. How much should they invest in each to realize exactly $15,600 per year?\n <\/p>\n
\n
\n
\n SOLUTION
\n <\/u>
\n<\/b>\n<\/p>\n
\n To solve this problem we take a given amount \u00a0to be invested in AA bonds as x \u00a0with interest of 11% (0.11) thus the one left (160000-x) was invested in safe certificate of deposit yielding with interest of 6%(0.06) to get a total interest of 15600.\n <\/p>\n
\n Therefore 0.11x + (160000-x) 0.06 = 15600\n <\/p>\n
\n 0.11x + 9600 -0.06x = 15600 collect like terms together,\n <\/p>\n
\n 0.11x – 0.06x = 15600-9600\n <\/p>\n
\n 0.05x = 6000\n <\/p>\n
\n 0.05x\/0.05= 6000\/0.05, x=120000\n <\/p>\n
\n And 160000-x = 160000-120000 = 40000 thus the amount to be invested in safe certificate of deposit yielding is 40000 and amount to be invested in AA bonds is 120000 to realize exactly $15,600 per year.\n <\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"
A retired couple has $160,000 to invest to obtain annual income. They want some of it invested in safe Certificates of Deposit yielding 6%. The rest they want to invest in AA bonds yielding 11% per year. How much should they invest in each to realize exactly $15,600 per year? SOLUTION To solve this problem […]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_joinchat":[]},"categories":[1],"tags":[],"_links":{"self":[{"href":"https:\/\/qualityassignments.net\/wp-json\/wp\/v2\/posts\/228629"}],"collection":[{"href":"https:\/\/qualityassignments.net\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/qualityassignments.net\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/qualityassignments.net\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/qualityassignments.net\/wp-json\/wp\/v2\/comments?post=228629"}],"version-history":[{"count":0,"href":"https:\/\/qualityassignments.net\/wp-json\/wp\/v2\/posts\/228629\/revisions"}],"wp:attachment":[{"href":"https:\/\/qualityassignments.net\/wp-json\/wp\/v2\/media?parent=228629"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/qualityassignments.net\/wp-json\/wp\/v2\/categories?post=228629"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/qualityassignments.net\/wp-json\/wp\/v2\/tags?post=228629"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}