Problema Solution

A person invested $25,000 in stocks and bonds. Her investment in bonds is $5,000 more than one third her investment in stocks. How much did she invest in stocks? How much did she invest in bonds?

Answer provided by our tutors

Let


s = the money invested in stocks


b = the money invested in bonds


A person invested $25,000 in stocks and bonds:


s + b = 25000


Her investment in bonds is $5,000 more than one third her investment in stocks:


b = 5000 + (1/3)s


by solving the system of equations:


s + b = 25000


b = 5000 + (1/3)s


we find:


s = $15,000


b = $10.000


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She invested $15,000 in stocks and $10,000 in bonds.