Question 927571: A total of $5000 is invested: part at 7% and the remainder at 12%. How much is invested at each rate if the annual interest is $400? Answer by srinivas.g(540) (Show Source):
You can put this solution on YOUR website! Let x be the amount invested in an account that paid 7 % per year
Let y be the amount invested in an account that paid 12 % per year
x+y= $ 5000.......................eq(1)
interest on amount = 10 % of X
=
{{0.07x}}}
Interest on amount y = 12 % of y
=
=
Total interest for whole amount = $ 400
hence
0.07 x+0.12 y =400.............eq(2)
solve eq(1) and eq(2) to get x& Y values
Solve: We'll use substitution. After moving 1*y to the right, we get: , or . Substitute that
into another equation: and simplify: So, we know that y=999.999999999999. Since , x=4000.
