Problema Solution

You inherited $16,000 from a favorite aunt. You want to invest some of the money but not necessarily all of it in two different accounts. One pays 5% interest the other pays 6% interest. The combined total interest must be at least $860. Write the system of inequalities for this situation. Graph the inequalities and find 2 ways that you could divide the money and make the interest that you want to make.

Answer provided by our tutors

let


x = the money invested at 5% interest, x>0

y = the money invested at 6% interest, y>0


x + y <= 16000


the combined total interest must be at least $860


0.05x + 0.06y => 860


the system of inequalities for this situation:


x >= 0

y >= 0

x + y <= 16000

0.05x + 0.06y => 860


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First way to divide the money is


x = $2000

y = $14000


and indeed:


2000 + 14000 = 16000


0.05*2000 + 0.06*14000 = 940 > 860


Second way to divide the money is


x = $4000

y = $12000


and indeed:


4000 + 12000 = 16000


0.05*4000 + 0.06*12000 = 920 > 860