Homework Help: math

Posted by gaurav on Saturday, October 29, 2011 at 2:10am.

4. You have $55000 to invest, and two funds you would like to invest in. The You-Risk-It Fund yields 13% interest. The Extra-Dull Fund yields 7% interest. Because of the college financial aid implications, you don’t think you can afford to earn more than $6500 in interest income this year. How should you put in each fund?

math - drwls, Saturday, October 29, 2011 at 2:29am
Let X be the amount invested at 13% interest
Let Y be the amount invested at 7% interest
0.13X + 0.07 Y = 6500 (maximum without financial aid penalty)
X + Y = 55,000
0.13X + 0.13Y = 7150
0.06Y = 650
Y = 10,833.33 at 7%
X = 44,166.67 at 13%

Answer this Question

Related Questions

math - 1. You have $55000 to invest, and two funds you would like to invest in. ...
math - 1. You have $55000 to invest, and two funds you would like to invest in. ...
College Algebra - You plan to invest $12,000 in two funds paying 41/2% and 5% ...
Statistics - Probability - A mutual fund company has six funds that invest in ...
Algebra - Michael invested his savings in two investment funds. The amount he ...
math - Aldo invested his savings in two investment funds. The $24, 000that he ...
MSIS Management Science Methods - How can I set this question up in Lindo? ...
Math - Salma invested her savings in two investment funds. The that she ...
Math - Laura invested her savings in two investment funds. The that she invested...
math - A winner of the Florida Lotto has decided to invest $500,000 per year. ...

For Further Reading

First Name:
School Subject:
Answer: