Question 6
Commercial ArithmeticA man invested a total of ₦50,000 in two companies. If these companies pay dividend of 6% and 8% respectively, how much did he invest at 8% if the total yield is ₦3,700?
- A.₦15,000
- B.₦29,600
- C.₦21,400
- D.₦27,800
- E.₦35,000.
Show the answer and explanation
Answer: E (₦35,000.)
Explanation
If all ₦50,000 earned 6% the yield would be ₦3,000. The extra ₦700 comes from 2% on the 8% part, so that part is 700 ÷ 0.02 = ₦35,000.