SOLUTION: jane invests part of her ​$4000 savings into a savings account at ​2.5% and part into a GIC at ​4% simple interest. If she earns 148.00​$ in interest from her two​ invest

Algebra.Com
Question 1171861: jane invests part of her ​$4000 savings into a savings account at ​2.5% and part into a GIC at ​4% simple interest. If she earns 148.00​$ in interest from her two​ investments, calculate how much she invested at each rate.
Answer by ikleyn(52788)   (Show Source): You can put this solution on YOUR website!
.

Let x be the amount invested at 4% (in dollars).

Then the rest (4000-x) dollars are invested at 2.5%.


Then you write the total annual simple interest equation


    0.04*x + 0.025*(4000-x) = 148   dollars.


From the equation


    x =  = 3200 dollars.


Answer.  $3200 invested at 4% and the rest  (4000-3200) = 800 dollars are invested at 2.5%.


CHECK.  0.04*3200 + 0.025*800 = 148 dollars, total annual interest.   ! Precisely correct !

Solved.

---------------------

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.




RELATED QUESTIONS

Shari wishes to place part of $ 12000 into a savings account earning 8 % simple interest... (answered by mananth)
1)Ivana invested her savings of $4800. SHe invested part in a mutual fund, which paid her (answered by mananth)
taylor earns 2.1% simple interest per year on her savings. if she puts $500 into a... (answered by fractalier)
Can someone please help. I cannot figure out the correct formula. Using a Linear... (answered by Theo)
John has $10,220 to invest. He invests part of his money in a CD at 5% interest and the... (answered by checkley77)
Martha Goshaw wishes to place part of $12,000 into a savings account earning 8% simple... (answered by Fombitz)
A savings account is set up so that the simple interest earned on the investment is... (answered by stanbon)
taylor earns 2.1% simple interest per year on her savings. if she puts $500 into a... (answered by fractalier)
John had $30,000. He invested part of his money in bonds paying 12% annual simple... (answered by mananth)