QUESTION 7 Stock K is expected to return 12.4 percent while the return on Stock L is expected to be 8.6 percent. You have $10,000 to invest in these two stocks. How much should you invest in Stock L if you desire a combined return from the two stocks of 11 percent? $4,209 $3,415 $2,907 $3,684 $3,511

$3684 should be invested in stock L

Step-by-step explanation:

Let x represent the amount that you should invest in stock K.

Let y represent the amount that you should invest in stock L.

You have $10,000 to invest in these two stocks. It means that

x + y = 10000

Stock K is expected to return 12.4 percent while the return on Stock L is expected to be 8.6 percent. It means that the returns from stock K would be 12.4/100 × x = 0.124x

And the returns from stock L would be 8.6/100 × y = 0.086y

if you desire a combined return from the two stocks of 11 percent, it means that the combined returns would be

11/100 × (x + y) = 0.11(x + y)

The equation would be

0.124x + 0.086y = 0.11(x + y)- - - - - - - -1

Substituting x = 10000 - y into equation 1, it becomes

0.124(10000 - y) + 0.086y = 0.11(10000 - y + y)

1240 - 0.124y + 0.086y = 1100

- 0.124y + 0.086y = 1100 - 1240

- 0.038y = - 140

y = - 140/- 0.038

y = 3684

step-by-step explanation:

12: 00 p.m. to 7: 00 p.m. is a total of 7 hours.

4: 00 p.m. to 7: 00 p.m. is a total of 3 hours.

this means that from 4: 00 p.m to 7: 00 p.m. this represents 3/7 of what was lost from 12: 00 p.m. to 7: 00 p.m.

after knowing this, after doing 11,600 - 6,800 = 4,800

4,800 represents 3/7 of what was lost for 7 hours.

we then divide 4,800 by 3 which gets 1,600.

because we know that 1,600 represents 1/7 of how much water was lost, we just have to multiply by 7, which gets 11,200.   after adding 11,200 to how much water was left at 7: 00 p.m. which was 6,800. 11,200 + 6,800 = 18,000

this means that the pool originally had 18,000 gallons in the pool.

you can also check your work by doing 18,000 - 4(1600), which becomes           1800 - 6400 which gets you 11,600.