SOLUTION: David has $16,000 to invest. He invests $11,000 in a mutual fund that pays 12% annual simple interest. If he wants to make a t least $2200 in yearly interest, at what minimum rate

Algebra ->  Linear-equations -> SOLUTION: David has $16,000 to invest. He invests $11,000 in a mutual fund that pays 12% annual simple interest. If he wants to make a t least $2200 in yearly interest, at what minimum rate       Log On


   

Question 104697: David has $16,000 to invest. He invests $11,000 in a mutual fund that pays 12% annual simple interest. If he wants to make a t least $2200 in yearly interest, at what minimum rate does the remainder of the money need to be invested?
This was my hardest one.
Answer by Fombitz(32388) About Me  (Show Source):
You can put this solution on YOUR website!
Let's call the unknown rate R.
11000%280.12%29%2B%2816000-11000%29R=2200 Interest Equation
1320%2B5000R=2200
5000R=880
R=880%2F5000
R=0.176
The rate needs to be at least 17.6%.