SOLUTION: Mrs. Powell has $800 invested in stocks and $500 invested in a Certificate of Deposit. The CD has an interest rate two times greater than the stocks. If her annual interest on thes

Question 1080007: Mrs. Powell has $800 invested in stocks and $500 invested in a Certificate of Deposit. The CD has an interest rate two times greater than the stocks. If her annual interest on these two investments is $45, at what rate of interest is the $500 invested?
Answer by jorel1380(3719) (Show Source): You can put this solution on YOUR website!
Let n and 2n be the interest rates of the stocks and the CD, respectively. Then:
800n+500(2n)=45
1800n=45
n=45/1800 or .025, which is 2.5%. Therefore, the CD rate is 5%. ☺☺☺☺
RELATED QUESTIONS
The Pacific investment group invested some money in a certificate of deposit (cd) that... (answered by stanbon)

Pep invested x dollars in a savings account and y dollars in a certificate of deposit,... (answered by MathTherapy)

A women has 27,000. part is invested for 1 year in certificate of deposit paying 7%... (answered by ewatrrr)

a woman has $27,000. Part is invested for one year in a certificate of deposit paying 7%... (answered by jorel1380)

A woman has $27,000. Part of this money is invested for 1 year in a certificate of... (answered by ewatrrr)

Betsy, a recent retiree, requires $5,000 per year in extra income. She has $50,000 to... (answered by stanbon)

Betsy, a recent retiree, requires $5,000 a year per extra income. She has $70,000 to... (answered by lwsshak3)

Karen has a total of $4000, part in a savings account and the rest in a certificate of... (answered by ewatrrr)

A woman has invested money in two accounts. Part of the money is invested in an account... (answered by mananth)