Country Day's scholarship fund receives a gift of $ 175000. The money is invested in stocks, bonds,and CDs. CDs pay 6 % interest, bonds pay 2.6 % interest, and stocks pay 11.7 % interest. Country day invests $ 50000 more in bonds than in CDs. If the annual income from the investments is $ 10745, how much was invested in each vehicle?
Let the amount invested in CD's = C
Amount invested in bonds = C + 50000
Amount invested in stocks =175000 - (C + 50000) - C
0.06C + 0.026*[C +50000] + 0.117*[175000 - (C + 50000) - C] =10745, solve for C
C =35,000 dollars - amount invested in CD's
35,000 + 50,000 =85,000 dollars invested in bonds
175,000 - 35,000 - 85,000 =55,000 dollars - invested in stocks.
