The annual income (A) is equal to the difference of future worth (F) and the present worth (P). Since the formula of F is:
F = P (1+i)ⁿ, then,
A = F - P
A = P[(1+i)ⁿ - 1] = $2,220, where n=1 because annual means income per one year
Now, amount of P should be distributed such that the total would be $30,000. Thus, the equation should be
(30,000 - x)[1 +0.05 - 1] + x[1 + 0.11 - 1) = 2220
Solving for x,
x = 12,000
30,000 - x = 18,000
Hence, Alyssa placed $12,000 in the certificate of deposit, and $18,000 with Apple Inc.
