Answered


A mother wants to invest $15,000.00 for her son's future education. She invests a portion of the money in a bank certificate of deposit (CD account) which earns 4% and the remainder in a savings bond that earns 7%. If the total interest earned after one year is $900.00, how much money was invested in the CD account?
The total interest earned after one year is $900.00.
How much money was invested in the CD account? $
(Round to the nearest cent, if necessary.)

Answer :

azikennamdi

From the analysis of the above math, the amount she invested in the CD account is 5,000. See the analysis below.

What is the analysis showing the above answer?

Let A be the amount invested in the CD.

Let B be the amount invested in the savings bond.

A + B = 15, 000

.04A + .07B = 900

Multiply the first equation by -.04 and add it to the second equation to get rid of the A term.

-.04A-.04B = -600  add this equation to the second equation.

.03B = 300  multiplying by 100.  3B = 30,000

dividing by 3 on both sides: B = 10,000.  So A = 5,000

So she invested 5,000 in the CD account

Learn more about math analysis:
https://brainly.com/question/24439065
#SPJ1

Other Questions