The correct equation that represents the situation described is:
1.50x + 0.50y = 20
In this equation:
- \( x \) represents the number of board books Santiago buys, and they cost $1.50 each.
- \( y \) represents the number of soft cover books he buys, and they cost $0.50 each.
- The total amount he spends is $20.
Thus, the equation sums the total costs of both types of books.