FINANCIAL

MATHEMATICS

U1

BASIC ALGEBRA
AND LINEAR
EQUATIONS

prepared by

B ib h ya N an d S h ar m a, Ja i R a j, Ro b in Ha ve a ,
T o kau a Te kab u
Unit 1: Basic Algebra and Linear Equations 1.2
Study Organiser
Before you begin this unit, please check through your study organiser. It shows the
topics that we will be covering, the skills you need to acquire (the outcomes) and the
activities you will do to help you acquire these skills.
Topic Learning outcomes Activities
1.1 Basic Algebra • Explain basic algebra Activity 1.1

1.2 Linear Equations • Discuss linear equations Activity 1.2

• Apply linear equations
1.3 Number of • Discuss solutions of a system of Activity 1.3
solutions of a linear equations
system of linear
equations
1.4 Solving systems • Analyse linear equations Activity 1.4
of linear • Solve systems of linear Activity 1.5
equations equations

You are expected to spend 12 hours on this unit.

Unit 1: Basic Algebra and Linear Equations 1.3

Introduction
In this Chapter we will provide the basic techniques in financial calculation and will
concentrate mainly on forming and solving Linear Equations. We begin the chapter
with a review of the basic background in algebra such as simplifying algebraic
expression, the order of mathematical operation. We then study linear equations
and their properties and end with some solving systems of linear equations.

Source:http://shimajournal.org/issues/v4n1/k.%20Whincup%20Shima%20v4n1%20113-
130.pdf

Mathematics is part of our everyday life in the Pacific as shown by these

patterns.

Unit 1: Basic Algebra and Linear Equations 1.4

1.1 Basic Algebra
1.1.1 Algebraic Expression
In algebra we use algebraic quantities or variables (which are commonly denoted
by letters), as well as numbers and arithmetic symbols, such as +, -, =, etc., to
represent a relationship or to create a mathematical statement or expression. A
mathematical statement that combines all the above is called an algebraic
expression. For example 5 x + 2 x 2 − 15 is an algebraic expression that consists of
three terms 5x, 2 x2 and -15. The numbers 5 and 2 are called coefficients of the
terms x and x 2 respectively. In general coefficients are usually placed in front of an
algebraic quantity. Note that the number -15 is called a constant term since it is not
associated with any algebraic quantity.

The rules of algebra follows the rules of arithmetic, but these rules are written using
letters.

For example, 9 + 5 = 5 + 9 this shows that the order of addition does not matter. In
algebra, we express such statement as: x + y = y + x . The letter x simply means the
first number with any value, and y the second number. Letters are used to show
that the statement is true for any number.

1.1.2 Simplifying Algebraic Expressions

Algebraic expressions can be simplified and the following examples illustrate the
rule.

1. When the terms are similar (like terms such as x with different coefficients)
then they can be combined by adding the coefficients. Consider the
expression 5 x 2 + 3 x − 4 x 2 + 3 x . This expression can be simplified to x 2 + 6 x
since 5 x 2 and − 4x 2 are like terms or similar terms so 5 − 4 = 1 (coefficient of
x 2 ), likewise 3x and 3x , so 3 + 3 = 6 (coefficient of x ).

Other examples of similar terms are 2( x − 3) and 5(x − 3) , as well as

2( x2 − x + 2) and 5(x2 − x + 2). For instance, 2( x − 3) + 5( x − 3) can be
simplified as 7( x − 3) = 7 x − 21. Similarly, 2( x2 − x + 2) − 5(x 2 − x + 2) can
be simplified as −3( x2 − x + 2) = −3x 2 + 3x − 6.

When the terms are not similar, they cannot be combined by simply adding
or subtracting the coefficients. The expression 12 x − 3 y + 2 z cannot be
simplified further.

Unit 1: Basic Algebra and Linear Equations 1.5

 2. Different powers of a variable cannot be treated as like terms. The
expression 3 x + 4 x 2 cannot be simplified since the terms x and x 2 are not
considered as like terms. The expression can be written in a different form
x (3 + 4 x ) which has some benefits.

3. Multiplication and division follow the rules for manipulating numbers. For
example,
7 × ab 21× ab 7 ab c 7 abc 1
2
÷ = 2 × = 2
= .
c c c 21ab 21abc 3c

1.1.3 Mathematical Operations

When several arithmetic operations are involved there is an agree order of
precedence with an acronym BEDMAS. The algebraic order of operations is as
follows:

1. Evaluate the parentheses or Brackets, if there are any, and if they require
evaluation,
2. Evaluate the powers, that is, the Exponents,
3. Divide or Multiply -- it does not matter,
4. Add or Subtract.

Example1.1
Simplify the algebraic expression 8a + 4(a + 3a)2 − 7.

Solution
8a + 4(a + 3a)2 − 7
= 8a + 4(4a)2 − 7 The parenthesis is first evaluated,
( a + 3a is replaced by 4a),
= 8a + 4(16a 2 ) − 7 Next, the exponent is evaluated,
= 8a + 64a 2 − 7 Then we multiply,
= 64a 2 + 8a − 7 But since there are no like terms in this expression, we
can not add or subtract further.
So 64a 2 + 8a − 7 is the simplified form of 8a + 4(a + 3a)2 − 7.

Example1.2
Let x = 10c, y = 3c, and z = −3c.
Evaluate ( x + y ) z.

Solution
(10c + 3c) × −3c = 13c × −3c = −39c2 .

Unit 1: Basic Algebra and Linear Equations 1.6

ctivity 1.11.1
Activity
Acity 1.1
Aity
Spend1.1at least 10 – 15 minutes on this activity
S
Use the order of operations to simplify the following:

8a + 4(a + 3a)2 − 7.

(5x 2 y − 4 y)2 + 2(7 z − 2 x 2 y).

1.2 Linear Equations

An equation is a Mathematical statement which shows that two quantities are equal.
It is usual for such an equation to contain at least one unknown quantity or variable.
In the case of an equation with one unknown, the equation will only be valid if the
unknown is assigned one or more values, which are called solutions (or roots) of the
equation. For example, the equation x + 5 = 2 has only one solution or root,
namely x = −3 . The value for x = −3 is said to satisfy the equation. There are many
types of equations but in this text we will concentrate on Linear equations.

An equation in n variables is said to be linear if it can be written in the form

a1 x1 + a2 x2 + ... + an xn = b ,
where x1 , x2 ,..., xn are distinct variables; a1 , a2 ,..., an and b are constants; and at
least one of ai 's is not 0.

Here are a couple of examples of linear equations.

x + y = 50 a linear equation with 2 variables.
8 y + 3 x − 4 z = 2 a linear equation with 3 variables.
2
5 x1 + x2 − 4 x3 − x4 = 9 a linear equation with 4 variables.
3
In order for an equation to be a linear equation, there are several points to bear in
mind. First, the unknowns or variables only appear to the first power and there are
no variables in the denominator of a fraction. Also there are no products, quotients
or root of variables and no variables involved in trigonometric, exponential, or
logarithmic functions. All of these ideas are required for an equation to be a linear
equation.

The following are examples of non-linear equations: e x − 2 y = 8 and

sin x1 + π x2 = e2 .

Unit 1: Basic Algebra and Linear Equations 1.7

1.2.1 Straight Lines
In this section we will study linear equations in 2 variables (and whenever we
mention a linear equation in this text, we refer to a linear equation with 2 variables).
It is an equation that can be written in the form Ax + By = C , where A and B are both
real numbers and together cannot be equal to zero while x and y are variables or
unknown. This form is sometimes called the standard form of a linear equation.
The graph of such equations is always a line and this is the reason it is called a linear
equation.
When the linear equation is given, there are several ways to draw its graph. One of
the most common methods is by determining the x and y-intercepts:

A. Graphing a line by determining its x and y-

intercepts:

The x − intercept is the point at which the line crosses the x − axis, and the
y − intercept is the point where the line crosses the y − axis .

Steps:
1. Determine the x and y-intercepts.
2. Join the x and y-intercept to form the line.

Example 1.3

Sketch the graph of y + 3x = −12

Solution
To find the y − intercept:
Let x = 0, and solve for y
y + 3(0) = −12
y = −12

This implies that the y-intercept is at (0, −12).

y
To find the x − intercept:
Let y = 0, and solve for x,
(0) + 3x = −12
-4 x
3 x = −12 dividing both sides by 3 we get
x = −4. -12
Thus, the x − intercept is ( −4, 0) .
By joining the two intercepts we get the line as shown.

Unit 1: Basic Algebra and Linear Equations 1.8

B. Determining the slope of a straight line:
The slope of the line is a number that measures its “steepness” and is usually
denoted by the letter m.

The slope, m, of the line through points ( x1 , y1 ) a n d ( x2 , y2 ) is given by

rise change in y ∆y y2 − y1
m= = = = , x1 ≠ x2 .
run change in x ∆x x2 − x1

y ( x2 , y2 )

y2

rise = y 2 − y1 = ∆ y

( x1 , y1 )
y1
run = x 2 − x1 = ∆ x

x2 x
x1

Example 1.4
The Principal of Motufoua Secondary School in Tuvalu is planning to purchase a
server to be used by the school for their internet purposes. He notices that a server
purchased at a cost of $60,000 in 2006 is depreciated linearly. The value of the
server at the end of 4 years is $12,000. He wanted to know the rate of this server
depreciation. What will you advice if you are the one that he consults? Let y be the
value of the server at the end of x years. Find the rate (slope) of depreciation.

Solution
We are given that ( x1 , y1 ) = (0,60000) and ( x2 , y2 ) = (4,12000).
∆y y1 − y2 60000 − 12000
The rate of depreciation is m = = = = −12000.
∆x x1 − x2 0−4

Unit 1: Basic Algebra and Linear Equations 1.9

C. Equation of a line:
As previously mentioned, an equation of a line is usually written in the
form Ax + By = C , where A, B and C are real numbers and together cannot be equal
to zero while x and y are variables or unknowns.

We will study the two types of equations, a slope-intercept form and a point-slope
form.

Slope-intercept form: y = mx + c
An equation of a line with slope m and y-intercept (0, c) is y = mx + c.

We should note here that the value of the slope m of a line can be positive, negative,
zero or undefined.
CASE 1: Positive Slope y = 2x +1

CASE 2: Negative Slope y = − 2 x + 1

CASE 3: Slope of Zero y = ± a (horizontal line)
CASE 4: Slope not defined x = ± a (vertical line)

Example 1.5
Find the slope m and the y-intercept of the line 2 x + 4 y = 8 .

Solution
To obtain the slope and y-intercept, we need to transform the equation into
its slope-intercept form, that is, we need to solve for y.
2x + 4 y = 8
4 y = −2 x + 8
1
y = − x+2
2
1
The coefficient of x, − is the slope and the y-intercept is (0, 2).
2

Let us now consider the second form of linear equation.

Point–slope form y − y = m( x − x )
1 1
The line with equation above has a slope m and it passes through a point ( x1 , y1 ) .

Unit 1: Basic Algebra and Linear Equations 1.10

Example 1.6

Find the equation of the line with slope 2 and containing the point (2,3) .

Solution
Since we are given the slope and a point on the line we use the point slope
form
y − y = m( x − x )
1 1
and use
m = 2 (since the slope is 2),
x1 = 2 and y1 = 3 (the point has an x-cordinate of 2 and y as 3).
Then
y − 3 = 2( x − 2)
y = 2x − 4 + 3
y = 2 x − 1.

Therefore the equation is y = 2 x − 1 .

Example1.7
Find the equation of the line passing through the points (2,1) and (-2,5).

Solution
5 −1 4
Find the slope m = = = −1 , and then use the point-slope form with
−2 − 2 −4
one point on the line to form an equation of the line. Let’s use point (1, 2).

1.2.2 Pairs of lines

Parallel lines

Two lines are called parallel if they have the same slope, that is m1
= m2 and different y-intercepts. Parallel lines do not have common
points.

Unit 1: Basic Algebra and Linear Equations 1.11

 y

Coincident lines

Two lines are coincident if they have the same slopes, same y-
intercepts. They have all points in common.

Intersection lines
Lines with one common point and different slopes are called
Intersection lines.
x

Activity 1.2

Spend at least 20 – 30 minutes on this activity.

a) Write the equation of the line through ( −2, −7) that is parallel to 3 x + 5 y = 11 .

b) The percent p of USP, Laucala campus student’s who smoke cigarettes can be
described by p = 32.88 − 0.03t , where t is the number of years past 2000.

i) Find the slope and p-intercept of this equation.

ii) Write a sentence that interprets the meaning of the slope as a rate of change.
iii) Write a sentence that interprets the meaning of the p-intercept.

1.3 Number of solutions of a

system of linear equations .
A solution of a system of linear equations consists of values of variables that are
present in the equations. If there is at least one solution then the system is said to be
consistent otherwise it is inconsistent. The system could have either no solution,
exactly one solution, or an infinite number of solutions. Let us look at each case.

No Solution
The systems have no solution when the lines are parallel. They have no common
points, and the system is called an Inconsistent system.

Unit 1: Basic Algebra and Linear Equations 1.12

Example 1.8

Sketch the graphs of the following equations:

x + y =1
x + y = 2.

y
Solution
Refer to the opposite graph. 2

1
2
1 x

Exactly one solution

The system has exactly one solution when the lines do intersect and have a unique
common point. The system is Consistent and the equations are independent.

Example 1.9

Sketch the graphs of the following equations.

x+ y =3
x − y = −1 y

Solution 3

As shown in the opposite graph. (1, 2)

1

-1 3 x

Unit 1: Basic Algebra and Linear Equations 1.13

Infinitely many solutions
The system has infinitely many solutions when the lines are Coincident. There are
infinitely common points and the equations are dependent.

Example 1.10
Sketch the graphs of the following equations.

x + y =3
y
−2 x − 2 y = −6

3
Solution
As shown in the opposite graph.

3 x

Ac Activity
Activity 1.3 x.x
tivity x.x
Spend at least 20 -30 minutes on this activity.
State whether the following system of linear equations are coincident, parallel or
intersect. Explain your answers.

2 x − y = 5 2 x + 3 y = 6 2 x − y = 5
a)  b)  c) 
−4 x + 2 y = −10 4 x + 6 y = 0 x + y = 4

Unit 1: Basic Algebra and Linear Equations 1.14

1.4 Solving systems of linear
equations
There are many techniques of solving systems of linear equations. These include
graphical methods, algebraic methods and elementary row operation. However in
this course, we will be dealing with algebraic methods only.
Algebraic methods are where algebraic operations are performed on linear equations
to yield an equation with only one variable and then solve the new equation. The
rules for obtaining any two equivalent equations are shown below.

Equation Operations Producing Equivalent Systems

Theorem: A system of linear equations is transformed into an equivalent system if:

(1) Two equations are interchanged.

(2) An equation is multiplied by a nonzero constant.
(3) A constant multiple of one equation is added to another equation.

Equivalent systems of equations are systems that have the same solution set.

There are two algebraic methods to study and these are Substitution and
Elimination Methods.

Substitution Method

Summary of Steps

1. Make one variable the subject, for one of the equations.

2. Substitute the resultant equation in the remaining equations.

3. If we obtain an equation with only one variable, solve it. Otherwise, repeat steps
1 and 2 until such an equation is obtained.

4. Find the values of the remaining variables by back-substitution.

5. Check the solution.

Example 1.11
2 x + 3 y = 3 (1)
Solve 
− x + y = −4 (2)

Unit 1: Basic Algebra and Linear Equations 1.15

Solution
Step 1: Making y the subject of equation (2) we have y = x − 4.
Step 2: We substitute this result in equation (1) and simplify, we have
2 x + 3( x − 4) = 3
2 x + 3x − 12 = 3
Step 3 : Since now we have only one variable (x), we solve for x
5 x = 15
x = 3.
Step 4: Knowing x = 3, we can find y by substituting the value of x into either (1) or (2).
Note that both give the same answers.
(This technique is also known as back substitution.)
In here we are using equation (2).
− x + y = −4 ⇒ y = x − 4 = 3 − 4 = −1.

2(3) + 3(−1) = 3
Step 5: Check 
(−1) + −3 = −4

Example 1.12
Solve the following system by substitution method.

 y = 36 − 9 x (1)

 y
3 x + 3 = 12 (2)

Solution
Substitute (1) into (2), we have
1
3 x + (36 − 9 x) = 12
3
3 x + 12 − 3 x = 12
12 = 12

This result does not give a value of either y nor x . However it gives a true statement.
It implies that the system is dependent and that there are many solutions.

Unit 1: Basic Algebra and Linear Equations 1.16

Elimination Method
The second method is called the Elimination method. It is preferable over
Substitution if substitution leads to fractions or the system contains more than two
variables. The main idea in elimination is to replace the original system of equations
by an equivalent system so that adding two of the equations eliminates a variable.

Summary of Steps

1. Select two equations from the system and eliminate a variable from them.

2. If there are additional equations in the system, pair off equations and
eliminate the same variable from them.

3. Continue steps 1 and 2 on successive systems until one equation containing

one variable remains

4. Solve for this variable and back-substitute in previous equations until all the
variables have been found.

Example 1.13
2 x − 3 y = 1 (1)
Solve 
 − x − y = −3 (2)

Solution
2 x − 3 y = 1 (3)

−2 x − 2 y = −6 (4)
Lets replace Equation (4) by the sum of the two equations (3)
and (4) to obtain
2 x − 3 y = 1 (5)

−5 y = −5. (6)

We can now solve equation (6) because it contains just the

variable y and we obtain
−5 y = −5
y = 1.
We back substitute this value of y into equation (5)
2 x - 3(1) = 1
2x = 4
x=2

The solution of the original system is x = 2, y = 1.

Unit 1: Basic Algebra and Linear Equations 1.17

A) Solve the systems of equations by substitution.

 3x
3 x − 2 y = 6 4 x − y = 3  y = 8 − 2
i)  ii)  iii) 
 4y = 4 2 x + 3 y = 19  y = 3x − 1
 4
B) Solve each system of equations by elimination.

1 1
0.2 x − 0.3 y = 4 6 x − 4 y = 16  2 x + 3 y = 3
i)  ii)  iii) 
2.3 x − y = 1.2 9 x − 6 y = 24  1 x − 2 y = −1
 4 3

Example 1.14
Solve the following system by elimination.
7 x + 2 y = 16 (1)

−21x − 6 y = 24 (2)

Solution
Multiply 3 with equation (1) and add the result to equation (2). We have
21x + 6 y = 16
+(−21x − 6 y = 24)
0 = 72
In this case the answer is nonsense, (0 = 72), which implies that the system of
equations is inconsistent and therefore there are no solutions for the system.

Activity 1.4

Spend at least 20 – 30 minutes on this activity.

Fractional Systems of Equations

Systems may contain fractional coefficients, for instance,
 x y
 2 + = 1 (1)
3

 x + y = 1 (2)
 3 6

Unit 1: Basic Algebra and Linear Equations 1.18

To solve the system we need to manipulate the two equations and convert them to
those with whole number coefficients. We multiply the entire equation having the
fractions by the Lowest Common Denominator (LCD). The LCD for equation (1)
is 6 and 6 for equation (2) as well.

We should get
 3x + 2 y = 6 (3)

 2x + y = 6 (4)

after multiplying 6 to both equations (1) and (2). Then we proceed as outlined in
the previous algebraic methods.

We should now be familiar with the substitution and elimination method of

solving a system of two linear equations in two variables.
Next, let us look at how to approach a word problem.

There are several approaches and techniques that can be used to solve a word
problem. In this text we will use a Five-Step approach as listed below.

Five-Step Approach

1. Define the variables that you want to find.

2. Find the equations.
3. Solve the equations using either substitution or elimination method.
4. Checking.
5. Relate the solution to the question.

Example 1.15
A restaurant manager wants to purchase 200 sets of dishes. One design costs $25
per set, while another costs $50 per set. If he only has $8,000 to spend, how
much of each design should he order?

Solution
Read the question many times until it starts to make sense to you. Scribble any
information given to help you understand the question, such as:

200 sets of dishes

$25- Design cost $25 per dish
$50-Design cost $50 per dish
Total amount to spend is $8,000

Read the statement or question which asks you to find the answer: how much of
each design should be ordered? Read this several times.

Unit 1: Basic Algebra and Linear Equations 1.19

The question is asking you to find the number of dishes of design A and of
design B.

Step 1: Define the variables that you want to find.

In this case,
Let x be the number of dishes of a $25-design dish, and y be the
number of dishes of a $50-design.

Step 2: Find the equations.

The manager wants 200 sets of dishes which contains x number of $25-design
and y number of $50-design. So the first equation is
x + y = 200.
The second equation involves the cost.
Total cost for Total cost for Total amount
+ =
x number of y number of to spend
$25-design $50-design

x× $25 y × $50 $8000

+ =
So the second equation is 25 x + 50 y = 8000.
The difficult part is now over. We have defined the two variables and the two
equations.

Step 3: Now, we need to solve these 2 linear equations (either by

substitution or elimination method.)

x + y = 200 (1)
25 x + 50 y = 8000 (2)

Solving by elimination

Multiply -25 to equation (1) and add to equation (2).

−25 x − 25 y = −5000
25 x + 50 y = 8000

we get
25 y = 3000
y = 120.

Unit 1: Basic Algebra and Linear Equations 1.20

Substituting this y into the second equation

25 x + 50 y = 8000

we obtain
25 x + 50(120) = 8000
25 x = 2000
x = 80.

So x = 80 and y = 120.

Step 4: Check

x + y = 200
80 + 120 = 200
200 = 200

25 x + 50 y = 8000
25(80) + 50(120) = 8000
2000 + 6000 = 8000
8000 = 8000

Unit 1: Basic Algebra and Linear Equations 1.21

 Hence, if we have written our 2 equations correctly we can be confident that our
solution is correct.

Step 5: Relate the solution to the equation. Look back at the question and
ask yourself does it make sense?

The question was asking how much of each design should be ordered.

Since
x = 80 and y = 120
where
x = the number of dishes of a $25-design
y = the number of dishes of $50-design.

1) The FM radio station in Tonga sells second hand radios. Suppose a FM radio station has a
total cost function C ( x ) = 105 x + 1650 and the total revenue function R ( x ) = 80 x.
a) What is the equation of the profit function for this second hand radios?
b) What is the profit for 30 secondhand radios?
Interpret your results.
c) How many radios must be sold to avoid losing money?

2) Samoan local market allows women to sell their own art and craft artifact. Suppose Lelani
sells kula decorated baskets for $12 per basket. The fixed costs for making these baskets per
month are $160, and the variable costs are $30 per unit.
a) Write the equations of the revenue and cost functions.
b) Find the breakeven point.

So the manager should order 80 dishes of a $25-design and 120 dishes of a $50-
design.

You should approach all word problems in the same way as in this example.

Activity 1.5

SPEND AT LEAST 20 – 30 MINUTES ON THIS ACTIVITY

Unit 1: Basic Algebra and Linear Equations 1.22

 Tutorial

1. The BSP, Bank of the South Pacific lent $118,500 to a Fiji Pearl
Company in Savusavu for the development of black and white pearl
products. If the loan for black pearl was for $34,500 more than that for
white pearl, how much was lent for each product?

2. Suppose the sales of the Fiji Pearl Company are given

by S = 500 x + 4000 , where x is measured in years and x = 0 corresponds
to the year 2009.

(a) Find S when x = 0.

(b) Find S when x = 2.
(c) Find the predicted sales in 2015, assuming this trend continues.

3. The supply and demand equations for sugar in Niue have been estimated
to be given by the equations, where p is measured in dollars, S and D
are measured in pounds units of sugar.

S = 0.5 p + 0.2 D = −0.5 p + 1.4

(a) Find the market price.

(b) What quantity of supply is demanded at this market price?
(c) Graph both the supply and demand equations.
(d) Interpret the point of intersection of the two lines.

4. The market price for the Nauru natural perfumed oil is $5.00 per liter and
occurred when 1000 liters are produced. At a price of $1 no oil are
manufactured and for a price of $12 no oil will be purchased. Find the
supply and demand equations, assuming they are linear.

5. A USP cafeteria in Vanuatu produces chicken roti at a daily cost of $0.85

per roti and sells them for $1.10 per roti. The daily operational overhead
is $400. What is the break-even point? Graph your result.

6. Village 6 Damodar, a movie theater in Suva charges adults for $6.50 and
children for $5. On a day when 300 people paid admission, the total
receipts were $1,800. How many were adults and how many were
children?

7. The Tokelau businessman, Billy has $150,000 to invest. He requires a

return on his investments of $12,000 per year. As his financial consultant,
you recommend he invest some money in the Tokelau Development Bank
that yield 5%, and some in the Tokelau junk bonds that yield 10%. Find
the amount of each investment.

Unit 1: Basic Algebra and Linear Equations 1.23

8. Village 6 theater in Suva sells 2 medium popcorns and 4 large coca-cola
(coke) for $19.95. Two large cokes costs $1 more than one box of
medium popcorn. What is the cost of a box of medium popcorn and a
large coca-cola?

9. Two investments are made totaling $90,000. In one year the first
investment yields a profit of 5% whereas the second yields a profit of
12%. Total profit for this year is $10,000. Find the amount initially put
into each investment.

10. A company produces two items A and B. Each unit of A requires 2 people
in production and 1 person in packaging (each day). Each unit of B
requires 4 people in production and 5 people in packaging. How many
units of each item must be produced per day to keep 70 people in
production and 65 people in packaging employed?

Summary
In this Unit, you have learnt to form equations and solve equations
simultaneously. In the next Unit you will learn more about equations and
inequalities.

Unit 1: Basic Algebra and Linear Equations 1.24