Answered

Jesse is investing $2000 more in stocks than in bonds.The bonds pay 7.2% in interest and the stocks pay 6%. If the income from each investment is the same,how much interest will he receive in all? ok the example is saying they multiplied 0.06 and 0.072 by 1000 how did they get 1000? @igreen



Answer :

Geekhawk
x+2,000=stocks
x=bonds
7.2%⇒(.072)(x)=bonds invested
6%⇒(.06)(x+2,000)=stocks invested

Here is the equation:

x(.072)=(.06)(x+2,000) | Since the income from both equal

You then solve each side first (assume you know how to but if not, let me know)

You first multily the parentheses/x variables 
⇒.072x = .06x+2,000(.06)

⇒.072x = .06x+120

You then minus .06x from each side
⇒.012x = 120

You then divide each side by .012
.012x÷.012=x
120÷.012=10,000
x=10,000

Now change the original x variables with 10,000

.072($10,000)=$720 bond interest
They are equal so $720×2=$1440



Other Questions