SOLUTION: Tony has a total of 12,500 in two accounts. One account pays 2% simple interest per year and the other pays 5% simple interest. If he earned $370 in interest in the first year, how

Question 902080: Tony has a total of 12,500 in two accounts. One account pays 2% simple interest per year and the other pays 5% simple interest. If he earned $370 in interest in the first year, how much did he invest in each account?
Answer by richwmiller(17219) (Show Source): You can put this solution on YOUR website!
x+y=12500,
0.02*x+0.05*y=370
x=12500-y
0.02*(12500-y)+0.05*y=370
250-0.02y+0.05*y=370
0.03*y=120
y=4000 at 5%
x=12500-y
x=8500 at 2%
check
0.02*8500+0.05*4000=370
170+200=370
370=370
ok

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