Gary won $70,000 in the lottery after all tax deductions. He invested part of the money at 11% and deposited the remainder in tax-free bonds at 12%. His total annual income from the investments was $7900. Find the amount invested at 11%. Find the amount invested at 12%.

Question

Augustus

Mathematics

28 March, 20:15

Gary won $70,000 in the lottery after all tax deductions. He invested part of the money at 11% and deposited the remainder in tax-free bonds at 12%. His total annual income from the investments was $7900. Find the amount invested at 11%. Find the amount invested at 12%.

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Duncan Kidd · Answer 1

X - invested for the money at 11%

70 000 - x - deposited at 12%

0.11x + 0.12 (70000-x) = 7900

0.11x + 8400 - 0.12x = 7900

8400 - 7900 = 0.01x

500 = 0.01x

x=50 000 invested at 11%

rest (20K) invested at 12%