SOLUTION: a teacher has a choice of two investment plans an insured fund that has paid an average of 11% interest per year or a riskier investment that has an averaged a 13% return . if the

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Question 468978: a teacher has a choice of two investment plans an insured fund that has paid an average of 11% interest per year or a riskier investment that has an averaged a 13% return . if the same amount invested at the higher rate would generate an extra $120 per year how much does the teacher have to invest
Answer by stanbon(75887) About Me  (Show Source):
You can put this solution on YOUR website!
A teacher has a choice of two investment plans an insured fund that has paid an average of 11% interest per year or a riskier investment that has an averaged a 13% return . if the same amount invested at the higher rate would generate an extra $120 per year how much does the teacher have to invest
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Let the investment amount = x
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0.13x - 0.11x = 120
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0.02x = 120
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x = $6000
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Cheers,
Stan H.
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