Question

Julie has $80,000 to invest. She invests part at 5%, one fourth this amount at 6%, and the balance 7%. Her total annual income from interest is $4,700. Find the amount invested at each rate.

Answer 1

Answer:

Julie invested $ 25,000 at 7%, $ 20,000 at 6%, and $ 35,000 at 5%.

Step-by-step explanation:

Given that Julie has $ 80,000 to invest, and she invests part at 5%, one fourth this amount at 6%, and the balance 7%, knowing that her total annual income from interest is $ 4,700, to find the amount invested at each rate se you must perform the following calculation:

80,000 / 4 = 20,000

20,000 x 0.06 = 1,200

4,700 - 1,200 = 3,500

60,000 x 0.07 + 0 x 0.05 = 4,200

50,000 x 0.07 + 10,000 x 0.05 = 4,000

40,000 x 0.07 + 20,000 x 0.05 = 3,800

30,000 x 0.07 + 20,000 x 0.05 = 3,600

25,000 x 0.07 + 35,000 x 0.05 = 3,500

Thus, Julie invested $ 25,000 at 7%, $ 20,000 at 6%, and $ 35,000 at 5%.