SOLUTION: Legacy company invested a total of RM 50 000 into two projects A and B for a year. Project A guarantees a return of 20% while project B provides 30% return after a year. Legacy c

Question 1174256: Legacy company invested a total of RM 50 000 into two projects A and B for a year. Project
A guarantees a return of 20% while project B provides 30% return after a year. Legacy
company receives a total of RM 12 360 after a year. Find the value of investment in each
project.
Answer by greenestamps(13200) (Show Source): You can put this solution on YOUR website!

Here is a typical formal algebraic setup for solving the problem.

20% of some amount x, plus 30% of the remaining amount (50000-x), equals 12360:

Solve using basic algebra; I leave that to you.

The algebraic solution of that equation is straightforward, but a bit tedious.

Here is a quick and easy way to solve any 2-part "mixture" problem like this; the numbers in this problem make this method especially easy.

All RM 50000 returning 20% would return RM 10000; all returning 30% would return RM 15000; the actual return was RM 12360.

The fraction of the total invested at the higher rate is exactly determined by where the actual return lies between the two extremes. Viewing the three numbers 10000, 12360, and 15000 on a number line, it is easy to see that 12360 is 236/500 of the way from 10000 to 15000.

That means 236/500 of the total was invested at 30%.

ANSWERS: 236/500 of RM 50000, or RM 23600, was invested at 30%; the other RM 26400 was invested at 20%.

CHECK: .30(23600)+.20(26400) = 7080+5280 = 12360

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