document.write( "Question 1206260: ou have 50000 to invest and requier an annual return of 7000. you can invest your money in bonds, which pay a return of 15% per year, or you can invest in a certificate of deposit which pays 7% per year. how much money should you invest in each to realize exactly $7000 in interest per year? \n" ); document.write( "

Algebra.Com's Answer #843555 by ikleyn(52781) $\"\"$ $\"About$

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\n" ); document.write( "ou have 50000 to invest and requier an annual return of 7000. you can invest your money in bonds,
\n" ); document.write( "which pay a return of 15% per year, or you can invest in a certificate of deposit which pays 7% per year.
\n" ); document.write( "how much money should you invest in each to realize exactly $7000 in interest per year?
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document.write( "Let x be the amount to invest at 15% per year.\r\n" );
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document.write( "Then the rest, (50000-x) dollars, you invest at 7% per year.\r\n" );
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document.write( "x dollars at 15% generate 0.15x dollars as the interest.\r\n" );
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document.write( "(50000-x) dollars at 7% generate 0.07(50000-x) dollars as the interest.\r\n" );
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document.write( "You want two separate interests sum up to 7000 dollars\r\n" );
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document.write( "    0.15x + 0.07*(50000-x) = 7000  dollars.\r\n" );
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document.write( "Simplify this equation and find x\r\n" );
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document.write( "    0.15x + 0.07*50000 - 0.07x = 7000\r\n" );
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document.write( "     0.15x - 0.07x = 7000 - 0.07*50000\r\n" );
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document.write( "         0.08x      =    3500\r\n" );
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document.write( "             x      =  = 43750.\r\n" );
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document.write( "At this point, the problem is just solved.\r\n" );
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document.write( "ANSWER.  $43750 should be invested at 15% and the rest 50000-43750 = 6250 dollars should be invested at 7%.\r\n" );
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