Question 661348: Hello. I'm having a very hard time with problems like: "A total of $15,000 is invested in two corporate bonds that pay 5% and 7% simple annual interest. The investor wants to earn $880 in interest per year from the bonds. How much should be invested in each bond?" my mom got the answer, but she didn't do it algebraically.
Answer by MathTherapy(10552)   (Show Source):
You can put this solution on YOUR website!
Hello. I'm having a very hard time with problems like: "A total of $15,000 is invested in two corporate bonds that pay 5% and 7% simple annual interest. The investor wants to earn $880 in interest per year from the bonds. How much should be invested in each bond?" my mom got the answer, but she didn't do it algebraically.
Let amount invested in 5% bonds be F
Then amount invested in 7% bonds = 15,000 – F
Since interest desired = 880, then: .05F + .07(15,000 – F) = 880
.05F + 1,050 - .07F = 880
.05F - .07F = 880 – 1,050
- .02F = - 170
F, or amount invested in 5% bonds =  , or $
Amount invested in 7% bonds = 15,000 – 8,500, or $
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