Question

What is the answer for this question?

1. Dayne has three investment portfolios: A, B and C. Portfolios A, B and C together are worth a total of $175000, portfolios A and B together are worth a total of $143000, while portfolios A and C together are worth a total of $139000.
Use Cramer’s Rule to find the value of each portfolio.

Answer 1

The correct answer is:

Portfolio A = $107,000

Portfolio B = $36,000

Portfolio C = $32,000

Explanation:

According to the question,

`A+B+C=175000`...(1)

`A+B = 143000`...(2)

`A+C=139000`...(3)

Now,

From (1) and (2), we get

⇒
`Portfolio \ C = (1)-(2)`

`=175000-143000`

`=32000`...(4)

From (1) and (3), we get

⇒
`Portfolio \ B =(1)-(3)`

`=175000-139000`

`=36000`...(5)

From (1), (4) and (5), we get

⇒
`Portfolio \ A = (1)-(4+5)`

`=175000-(36000+32000)`

`=175000-68000`

`=107000`

Thus the above is the correct answer.