Answer:
He should use 20.08 pounds of the $1.85 per pound kind of nuts in the new mix
He should use 8.92 pounds of $1.20 per pound kind of nuts in the new mix
Step-by-step explanation:
Let x represent the pounds of $1.20 nut in the mix
Let y represent the pounds of $1.85 nut in the mix
So if he wants to mix a total of 29 pounds, we can set up the below equation;

If he wants to sell it for $1.65 per pound, we can set up the below equation;

We can now solve the system of equations simultaneously following the below steps;
Step 1: Express x in terms of y in Equation 1;

Step 2: Substitute x with (29 - y) in Equation 2 and solve for y;

So he should use 20.08 pounds of the $1.85 per pound kind of nuts in the new mix
Step 3: Substitute y with 20.08 in Equation 3 and solve for x;

So he should use 8.92 pounds of $1.20 per pound kind of nuts in the new mix