SOLUTION: Sally invested a certain amount of money at 5% and another amount twice as large at 6% interest. The total annual income from the investments was 4,250. Find the amount invested in

Algebra ->  Customizable Word Problem Solvers  -> Finance -> SOLUTION: Sally invested a certain amount of money at 5% and another amount twice as large at 6% interest. The total annual income from the investments was 4,250. Find the amount invested in      Log On

Ad: Over 600 Algebra Word Problems at edhelper.com


    

Question 1119549: Sally invested a certain amount of money at 5% and another amount twice as large at 6% interest. The total annual income from the investments was 4,250. Find the amount invested in each rate.
Answer by Theo(13342) About Me  (Show Source):
You can put this solution on YOUR website!
x equals the amount invested at 5%.
2x equals the amount invested at 6%.

the total annual income from the investments was 4250.

your formula is .05 * x + .06 * 2x = 4250.

simplify to get .05 * x + .12 * x = 4250.

combine like terms to get .17 * x = 4250.

solve for x to get x = 4250 / .17 = 25000.

she invested 25000 at 5% and 50000 at 6%.

.05 * 25000 + .06 * 50000 = 1250 + 3000 = 4250.

solution looks good.

solution is 25,000 was invested at 5% and 50,000 was invested at 6%.