16
QuizMultiple Choice

Rational Equations in Financial Contexts — Quiz

Question 16 • Financial Math

An investor has $⁢45,000 in an investment account and is making an additional deposit. He would like the ratio of the deposit, x , to the total account value after the deposit to be (1)/(10) How much should he deposit to meet this goal? Round to the nearest whole number if necessary.

Answer
A
4 dollars comma 500
B
49 dollars comma 500
C
50 dollars comma 000
D
5 dollars comma 000

Explanation

Let x be the deposit. The total account value after depositing is $45,000 + x, so the goal is x/(45,000 + x) = 1/10. Cross-multiplying gives 10x = 45,000 + x, so 9x = 45,000 and x = $5,000. The correct choice is D, $5,000.

AI-written and checked against the verified answer.

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