Answer:
We can do it with envelopes with amounts $1,$2,$4,$8,$16,$32,$64,$128,$256 and $489
Step-by-step explanation:
This give us the idea to put in each envelope an amount of money equal to the positional value of each digit in the representation of 1023. That is, we will put the bills in envelopes with amounts of money equal to $1,$2,$4,$8,$16,$32,$64,$128,$256 and $512.
However, a little modification must be done, since we do not have $1023, only $1,000. To solve this, the last envelope should have $489 instead of 512.
Observe that: