SOLUTION: Gary invested one-third of his insurance settlement in a CD that yielded 12%. He also invested one-third in Tara's computer business. Tara paid Gary 15% on his investment. IF Ga

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Question 203682: Gary invested one-third of his insurance settlement in a CD that yielded 12%. He also invested one-third in Tara's computer business. Tara paid Gary 15% on his investment. IF Gary's total income from these investments was $10,800 for one year, then what was the amount of his insurance settlement
Found 2 solutions by rfer, MathTherapy:
Answer by rfer(16322) About Me  (Show Source):
You can put this solution on YOUR website!
.15x+.12(10800-x)=10800
.15x+1296-.12x=10800
.03x=9504
x=$316800

Answer by MathTherapy(10858) About Me  (Show Source):
You can put this solution on YOUR website!
Let Gary’s insurance settlement be i. Then he invested i%2F3 in the 12% CD. This means that his income from this investment is .12%2Ai%2F3, which equals .04i

It also means that Gary invested i%2F3 in the 15% computer business. This means that his income from this investment is .15%2Ai%2F3, which equals .05i, Therefore,

.04i + .05i = 10,800

.09i = 10,800
i+=+10800%2F.09 = $120,000

Gary’s insurance settlement was: $highlight_green%28120%29,highlight_green%28000%29.