Question 1112900: Paul has $60,000 to invest. His intent is to earn 14% interest on his investment. He can invest part of his money at 8% interest and part at 16% interest. How much does Paul need to invest in each option to make a total 14% return on his $60,000?
What is 8% interest?
What is 16% interest?
I'm stuck and not sure at all what to do... Thanks!
Answer by ikleyn(52908)   (Show Source):
You can put this solution on YOUR website! .
0.08*x + 0.16*(60000-x) = 0.14*60000.
Simplify and solve for x, the amount invested at 8%.
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It is a typical and standard problem on investment.
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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