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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?

 Oct 3, 2020
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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.

 Oct 4, 2020

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