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Solve the Problem. -Don James Wants to Invest $55,000 to Earn $1336 Per

Question 99

Multiple Choice

Solve the problem.
-Don James wants to invest $55,000 to earn $1336 per year. He can invest in B-rated bonds paying 3.8% per year or in a Certificate of Deposit (CD) paying 1.2% per year. How much money should
Be invested in each to realize exactly $1336 in interest per year?


A) $27,000 in B-rated bonds and $28,000 in a CD
B) $29,000 in B-rated bonds and $26,000 in a CD
C) $26,000 in B-rated bonds and $29,000 in a CD
D) $28,000 in B-rated bonds and $27,000 in a CD

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