Carmella has $1200 invested in two stocks. One returns 8% per year and the other returns 12% per year. The income from the 8% stock is $3 more than the income from the %12 stock. How much did carmello invest in each stock?
B) wrtie an equation about the amount camerllo invested.
C) write a second equation about carmello's annual intrest.
E is the amount at eight percent
T is the amount at twelve percent.
.12T -3=.08E
.12(1200-E)-3=.08E
solve.
To solve this problem, let's assign variables to represent the unknowns. Let's say Carmella invested x dollars in the 8% stock and y dollars in the 12% stock.
B) To write an equation about the amount Carmella invested, we know that she has a total of $1200 invested, so we can set up the equation:
x + y = 1200
C) To write a second equation about Carmella's annual interest, we know that the income from the 8% stock is $3 more than the income from the 12% stock. Since interest is calculated as a percentage of the investment, we can set up the equation:
0.08x = 0.12y + 3
Now, we have a system of two equations:
Equation 1: x + y = 1200
Equation 2: 0.08x = 0.12y + 3
We can solve this system of equations to find the values of x and y, which represent the amounts Carmella invested in each stock.