SOLUTION: Maria was reviewing the investment results of her retirement savings account. The account balance at the start of the year was $6700. The account earned $619. Her investments were
Question 1120427: Maria was reviewing the investment results of her retirement savings account. The account balance at the start of the year was $6700. The account earned $619. Her investments were in a bond fund which had a return of 5%, a balanced fund which had a return of 8%, and an aggressive fund which had a return of 12%. She had $300 fewer in the aggressive fund than she did in the bond and balanced funds combined. How much did she have invested in the aggressive fund? Answer by solver91311(24713) (Show Source):
Since the interest rate on the Aggressive account was 12%, the amount of interest paid on the Aggressive account must be 0.12 X $3200 = $384
That means the amount paid on the other two accounts was $619 - $384 = $235.
Since the amount in the Aggressive account was $3200, the amount in the combination of the other two accounts must have been $6700 - $3200 = $3500.
So Bonds + Balanced = 3500. Let represent the amount invested in the Balanced account, then the amount invested in the Bonds account must have been . Then the amount of interest earned on the Balanced account must have been and the amount of interest earned on the Bonds account must have been . The sum of these two amounts is, as previously demonstrated, $235. So:
Solve for and then calculate
John
My calculator said it, I believe it, that settles it
