Suppose you have $5000 to invest. A certificate of deposit (CD) earns 6% annual interest, while bonds, which are more risky, earn 8% annual interest. You decide to invest $2000 in a CD and the rest in bonds. How much interest will you have earned at the end of one year? Of two years?
$2000*6%= what and $3000*8%=? i have given you the answer without solving it for you but the answers to these add up to 360 but i still however want you to find out what each one equals by itself.