To Find: How much is invested in each type of investment?
Answer to Problem 85E
Explanation of Solution
Given information: The certificates of deposit pay
annually. Over a five-year period, the investor expects the blue-chip stocks to return
annually and growth stocks to return
Concept used: Gaussian Elimination is the process of using valid row operations on a matrix until it is in reduced row echelon form
Calculation:
Let
From the given information
Total amount of investment
The investor wants a combined annual return of
The investor wants to have only one-fourth of the portfolio invested in stocks
There are
So, let
Adding
_______________________________.
Adding
From
Chapter 7 Solutions
PRECALCULUS W/LIMITS:GRAPH.APPROACH(HS)
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