Question

You have already invested $450 in a stock with an annual return of 11%. How much of an additional $900 should be invested at 12% and how much at 6% so that the total return on the entire $1,350 is 9%? (Round each answer to the nearest cent.)

Answer 1

9% on 1350 = 121.50

11% on 450 = 49.50

SUBTRACT 72.00 $

Let the amount invested at 12% be x $

Then the amount invested at 6% will be 900-x $

0.12x + 0.06( 900 -x) = 72

0.12x + 54 -0.06x = 72

0.06x = 18

x = 18/0.06 = 300 $

ANSWER 300$ at 12% and 600$ at 6%

CHECK

300 X 12/100 - = 36
600 X 6/100 = 36
450 X 11/100= 49.50
ADD 121.50 $
121.50 /1350 X 100 = 9%

Answer 2

Your amazing! Thank you!

Answer 3

np.