# SOLUTION: An Investment Club placed a portion of its funds into a 9% annual simple interest account and the remainder into an 8% annual simple interest account. The amount of interest for on

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 Click here to see ALL problems on Money Word Problems Question 515017: An Investment Club placed a portion of its funds into a 9% annual simple interest account and the remainder into an 8% annual simple interest account. The amount of interest for one year was \$860. If the amounts placed in each account had been revered, the interest earned would have been \$840. How much was placed in each account?Answer by Earlsdon(6287)   (Show Source): You can put this solution on YOUR website!Let x = the amount placed in the 9% account and y = the amount placed in the 8% account. Change the percentages to their decimal equivalents and write the equations relating the interests earned on each account to the total interest earned. 0.09x+0.08y = \$860 Now write the equation for the reverse. 0.08x+0.09y = \$840 Multiply each equation by 100 to clear the decimals. 9x+8y = 86000 8x+9y = 84000 Now multiply the top equation by 8 and the bottom one by 9 to get: 72x+64y = 688000 72x+81y = 756000 Subtract the top equation from the bottom one to get: 17y = 68000 Divide by 17. y = 4000 Now substitute this into one of the previous equations and solve for x. 9x+8y = 86000 Substitute y = 4000. 9x+32000 = 86000 Subtract 32000. 9x = 54000 Finally, divide by 9. x = 6000 The club placed \$6,000.00 into the 9% account and \$4,000.00 into the 8% account.