Question

An investment firm recommends that a client invest in bonds rated AAA, A, and B. The average yield on AAA bonds is $ 4 \% $, on A bonds $ 6 \% $, and on B bonds $ 11 \% $. The client wants to invest twice as much in AAA bonds as in B bonds. How much should be invested in each type of bond if the total investment is $ \$ 24,000 $, and the investor wants an annual return of $ \$ 1,490 $ on the three investments? The client should invest $ \$ $ in AAA bonds, $ \$ $ in A bonds, and $ \$ $ in B bonds.

          An investment firm recommends that a client invest in bonds rated AAA, A, and B. The average yield on AAA bonds is \( 4 \% \), on A bonds \( 6 \% \), and on B bonds \( 11 \% \). The client wants to invest twice as much in AAA bonds as in B bonds. How much should be invested in each type of bond if the total investment is \( \$ 24,000 \), and the investor wants an annual return of \( \$ 1,490 \) on the three investments? The client should invest \( \$ \) in AAA bonds, \( \$ \) in A bonds, and \( \$ \) in B bonds.

Added by Jeremy C.

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