Question 703930
Let x = the amount to invest at 7%
Then you have
(1) .08*20000 + .07x = 5000 or
(2) 1600 + .07x = 5000 or
(3) .07x = 3400 or
(4) x = 3400/.07 or
(5) x = 48571.428571 (repeated)
Let's check this value.
Is (.08*20000 + .07*48571.etc = 5000)?
Is (1600 + 3400 = 5000)?
Is (5000 = 5000)? Yes
Answer: She needs to invest $48571.43 @ 7% to obtain a total of $5000/year.