SOLUTION: Last year, Austin invested his money in two purchases. He purchased a certificate of deposit for $2000 that paid 4% interest per year and purchased $6000 in corporate bonds paying

Question 1031425: Last year, Austin invested his money in two purchases. He purchased a certificate of deposit for $2000 that paid 4% interest per year and purchased $6000 in corporate bonds paying 9% interest per year.
Answer the questions below. Do not do any rounding.
a)what was the total interest earned at the end of one year?
b)what was the percent interest for his total investment?
I tried, .04(2000)+.09(6000), but it seems like there is something missing...
Answer by mananth(16946) (Show Source): You can put this solution on YOUR website!
Total Interest
0.04*2000 + 0.09*6000
80+540 = 620
Total investment = 8000
Total interest = 620
Rate of interest on total investment

(620/8000 )* 100
=7.75%

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