SOLUTION: A professor wants to supplement her pension with investment interest. If she invests $31,000 at 6% interest, how much more would she have to invest at 7% to achieve a goal of $2,70

Question 744109: A professor wants to supplement her pension with investment interest. If she invests $31,000 at 6% interest, how much more would she have to invest at 7% to achieve a goal of $2,700 per year in supplemental income?
Answer by stanbon(75887) (Show Source): You can put this solution on YOUR website!
A professor wants to supplement her pension with investment interest. If she invests $31,000 at 6% interest, how much more would she have to invest at 7% to achieve a goal of $2,700 per year in supplemental income?
--------------------------
I(t) = Prt
Initial interest: 0.06*31000 = 1860
Needed interest: 2700-1860 = 840
---
Additional investment:
0.07x = 840
x = 840/0.07
x = $12,000
=======================
Cheers,
Stan H.
RELATED QUESTIONS
A professor wants to supplement her pension with investment interest. If she invests... (answered by mananth)

A professor wants to supplement her pension with investment interest. If she invests... (answered by stanbon)

A professor wants to supplement her pension with investment interest. If she invests... (answered by colliefan)

A professor wants to supplement her pension with investment interest. If she invests... (answered by richwmiller)

A professor wants to supplement her pension with investment interest. If she invests... (answered by ikleyn)

Please help me solve this word problem. A college professor wants to supplement her... (answered by richwmiller)

Olive wants to invest dollar-sign Baseline 15 Number , 000 with the goal of earning 10 %... (answered by stanbon)

I have two questions #1-After inheriting some money, a woman wants to invest enough to (answered by checkley75)