SOLUTION: Problem Page Tony invested his savings in two investment funds. The amount he invested in Fund A was $5000 less than the amount he invested in Fund B. Fund A returned a 6% profit

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Question 1121591: Problem Page
Tony invested his savings in two investment funds. The amount he invested in Fund A was $5000 less than the amount he invested in Fund B. Fund A returned a 6% profit and Fund B returned a 7% profit. How much did he invest in Fund B, if the total profit from the two funds together was $2300?
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Answer by ikleyn(52795)   (Show Source): You can put this solution on YOUR website!
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Let x = the amount invested in fund A at 6%  and

let y = the amount invested in fund B at 7%.


Then your first equation is

    y - x = 5000.                              (1)


Fund A returned  0.06*x dollars;  fund B returned 0.07*y dollars.


So, you second equation is


    interest + interest = total interest,    or


    0.06x    + 0.07y    = 2300     dollars     (2)   


From equation (1) express y = 5000+x  and substitute it into equation (2), replacing y:


    0.06x + 0.07*(5000+x) = 2300.


Sinplify and solve for x:


    0.06x + 350 + 0.07x = 2300


    0.13x = 2300 - 350 = 1950  ====>  x =  = 15000.


Answer.  The amount invested in fund A is  $15000;  the amount invested in fund B  is 5000 more, i.e.  $20000.


Check.  0.06*15000 + 0.07*20000 = 2300 dollars.   ! Correct !

Solved.

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To see many other similar solved problems on investment,  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.


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