SOLUTION: You invest $6000 in two stocks. In one year, the value of stock A increases by 5.8% and the value of stock B increases by 12.6%. The total value of the stocks is now $6586. How muc

Algebra ->  Finance -> SOLUTION: You invest $6000 in two stocks. In one year, the value of stock A increases by 5.8% and the value of stock B increases by 12.6%. The total value of the stocks is now $6586. How muc      Log On


   

Question 1132722: You invest $6000 in two stocks. In one year, the value of stock A increases by 5.8% and the value of stock B increases by 12.6%. The total value of the stocks is now $6586. How much did you originally invest in each stock
Found 3 solutions by solver91311, greenestamps, ankor@dixie-net.com:
Answer by solver91311(24713) About Me  (Show Source):
You can put this solution on YOUR website!




Solve for to get the original investment in stock B and then calculate to get the original investment in stock A.


John

My calculator said it, I believe it, that settles it

Answer by greenestamps(13200) About Me  (Show Source):
You can put this solution on YOUR website!


let x be the amount invested in stock A; then 6000-x is the amount invested in stock B.

The value of stock A after 1 year is x(1+0.058); the value of stock B after 1 year is (6000-x)(1+0.126).

Write and solve the equation that says the total value of the two stocks after 1 year is $6586.

Answer by ankor@dixie-net.com(22740) About Me  (Show Source):
You can put this solution on YOUR website!
You invest $6000 in two stocks.
A + B= 6000
Or
A =(6000-B)
In one year, the value of stock A increases by 5.8% and the value of stock B increases by 12.6%.
The total value of the stocks is now $6586.
That means the increase amt: 6586 - 6000 = $586
.058A + .126b = 586
Replace A with (6000-B)
.058(6000-B) + .126B = 586
348 - .058B + .126B = 586
-.058B + .126B = 586 - 348
.068B = 238
B = 238/.068
B = $3500 in Stock B
then
6000 - 3500 = $2500 in Stock A