SOLUTION: Jan Moser made a deposit into a 5% annual simple interest account. She made another deposit, $2500 less than the first, in a certificate of deposit earning 7% annual simple interes
Algebra ->
Customizable Word Problem Solvers
-> Finance
-> SOLUTION: Jan Moser made a deposit into a 5% annual simple interest account. She made another deposit, $2500 less than the first, in a certificate of deposit earning 7% annual simple interes
Log On
Question 1070141: Jan Moser made a deposit into a 5% annual simple interest account. She made another deposit, $2500 less than the first, in a certificate of deposit earning 7% annual simple interest. The total interest earned on both investments for one year was $353. How much money was deposited in the certificate of deposit? Answer by addingup(3677) (Show Source):
You can put this solution on YOUR website! The amount at 5%: x
The amount at 7%: x-2500
Total interest earned in 1 year: 353
--------------------------------
0.05x+0.07(x-2500) = 353
0.05x+0.07x-175 = 353
0.12x = 528
x = 4400 this is the amount at 5%
The amount at 7% = 4400-2500 = 1900
----------------------------------------
Check:
4400*0.05 = 220
1900*.07 = 133
Total . . = 353 Correct
