SOLUTION: Dave has $3000 more money in a money market account than his savings account the savings account pays .5% and the market account pays 2% how much is invested in each account if th

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Question 1144233: Dave has $3000 more money in a money market account than his savings account the savings account pays .5% and the market account pays 2% how much is invested in each account if the annual interest that he earns on the 2% investment $180 more than the interest on the 0.5% investment
Answer by ikleyn(52772)   (Show Source): You can put this solution on YOUR website!
.
Let x be the amount, in dollars, at the money market account, paying 2%.


Then the amount at the saving account is (x-3000) dollars.


The equation, from the condition, is


    0.02x - 0.005*(x-3000) = 180  dollars   (interest minus interest equals to the given difference)


From the equation, express x and calculate


    x =  = 11000.


ANSWER.  $11000 at the 2% account and (11000-3000) = 8000 dollars at the 0.5% account.


CHECK.   0.02*11000 - 0.005*8000 = 180 dollars.    ! Correct !

Solved.

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It is a standard and typical problem on investments.

If you need more details,  or if you want to see other similar problems solved by different methods,  look into the lesson
    - Using systems of equations to solve problems on investment
in this site.

You will find there different approaches  (using one equation or a system of two equations in two unknowns),  as well as
different methods of solution to the equations  (Substitution,  Elimination).

Also,  you have this free of charge online textbook in ALGEBRA-I in this site
    - ALGEBRA-I - YOUR ONLINE TEXTBOOK.

The referred lesson is the part of this online textbook under the topic  "Systems of two linear equations in two unknowns".


Save the link to this online textbook together with its description

Free of charge online textbook in ALGEBRA-I
https://www.algebra.com/algebra/homework/quadratic/lessons/ALGEBRA-I-YOUR-ONLINE-TEXTBOOK.lesson

to your archive and use it when it is needed.


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