A mother eamed $11250.00 from royalties on her cookbook. She set aside 20% of this for a down payment on a new home. The balance will be used for her son's future education. She invests a portion of the money in a bank certificate of deposit (CD account) that earns 4% and the remainder in a savings bond that eams 7%. If the total interest eamed after one year is $540.00, how much money was invested at each rate? How much monef was invested in the CD account? (Round to the nearest cent.)
A mother eamed $11250.00 from royalties on her cookbook. She set aside 20% of this for a down payment on a new home. The balance will be used for her son's future education. She invests a portion of the money in a bank certificate of deposit (CD account) that earns 4% and the remainder in a savings bond that eams 7%. If the total interest eamed after one year is $540.00, how much money was invested at each rate? How much monef was invested in the CD account? (Round to the nearest cent.)
Chapter9: Sequences, Probability And Counting Theory
Section: Chapter Questions
Problem 29RE: Alejandro deposits $80 of his monthly earnings into an annuity that earns 6.25% annual interest,...
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Transcribed Image Text:A mother eamed $11250.00 from royalties on her cookbook. She set aside 20% of this for a down payment on a new home. The balance will be used for her son's
future education. She invests a portion of the money in a bank certificate of deposit (CD account) that earns 4% and the remainder in a savings bond that eans 7%. If
the total interest eamed after one year is $540.00, how much money was invested at each rate?
How much mone was invested in the CD account?
(Round to the nearest cent.)
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