Chapter 5.4, Problem 47E

Finance Senator Porkbarrel habitually overdraws his three bank accounts: at the Congressional Integrity Bank, Citizens’ Trust, and Checks R Us. There are no penalties because the overdrafts are subsidized by the taxpayer. The Senate Ethic Committee tends to let slide irregular banking activities as long as they are not flagrant. At the moment (because of Congress’s preoccupation with a Supreme Court nominee), a total overdraft of up to $10,000 will be overlooked. Porkbarrel’s conscience makes him hesitate 10 overdraw account at banks whose names include expressions such as “integrity” and “citizen’ trust”. The effect is that his overdrafts at the first two banks combined amount 10 no more than one quarter of the total. On the other hand, the financial officers at Integrity Bank, aware that Senator Porkbarrel is a member of the Senate Banking Committee, “suggest” that he overdraw at least $2,500 from their bank. Find the amount he should overdraw from each bank 10 avoid investigation by the Ethic Committee and overdraw his account at Integrity by as much as his sense of guilt will allow.