Saturday, August 13, 2011

Sam has $25,000 to invest. Her financial planner suggests that she diversify her investment into three?

investment categories: Treasury bills that yield 3% simple interest annually, municiple bonds that yield 5% simple interest annually, and corporate bonds that yield 9% simple interest annually. Sam would like to earn $1210 per year in income. In addition, Sam wants her investment in Treasury bills to be $7000 more than her investment in corporate bonds. How much should Sam invest in each investment category?

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