SOLUTION: A college used a $5,000 gift from an alumnus to make two student loans. The first was at 5% annual simple interest to a nursing student. The second was at 7% annual simple interest
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Question 1036697: A college used a $5,000 gift from an alumnus to make two student loans. The first was at 5% annual simple interest to a nursing student. The second was at 7% annual simple interest to a business major. If the college collected $310 in interest the first year, how much was loaned to each student? Answer by jorel555(1290) (Show Source):
You can put this solution on YOUR website! Let n be the first loan. Then:
.05n+.07(5000-n)=310
.05n+350-.07n=310
.02n=40
n=40/.02=$2000 lent at 5%, $3000 lent at 7%!!!!!!!!!!!11
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