Set Up an Equation That Can Be Used to Solve

question 12

Multiple Choice

Set up an equation that can be used to solve the problem. Solve the equation and answer the question asked.
-You inherit $10,000 with the stipulation that for the first year the money must be invested in two stocks paying 6% and 11% annual interest, respectively. How much should be invested at each rate if the total interest earned
For the year is to be $700?

• A) $2000 invested at 6%; $8000 invested at 11%
• B) $8000 invested at 6%; $2000 invested at 11%
• C) $7000 invested at 6%; $3000 invested at 11%
• D) $9000 invested at 6%; $1000 invested at 11%