Lured by the ad in the illustration below, a woman invested $13,300, some in a money market account and the rest in a 5-year CD. How much was invested in each account if the income from both investments is $1,174 per year?
First Republic
Savings and Loan
AccountRateNOW5.5%Savings7.5%Money market8.0%Checking4.0%5-year CD9.0%
A. $2,900 in the money market account, $10,400 in the CD
B. $2,100 in the money market account, $11,200 in the CD
C. $2,800 in the money market account, $10,500 in the CD
D. $2,600 in the money market account, $10,700 in the CD
E. $2,300 in the money market account, $11,000 in the CD
Answer: E
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