How should you divide your money between fund a and fund b

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Reference no: EM131267517

You have $500,000 in an IRA (Individual Retirement Account) at the time you retire. You have the option of investing this money in two funds: Fund A pays 5.2% annually and Fund B pays 7.7% annually.

How should you divide your money between Fund A and Fund B to produce an annual interest income of $34,000?

Reference no: EM131267517

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