SOLUTION: Ali invested his savings in two investment funds. The $24000 that he invested in Fund A returned a 2% profit. The amount that he invested in Fund B returned a 6% profit. How much d
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-> SOLUTION: Ali invested his savings in two investment funds. The $24000 that he invested in Fund A returned a 2% profit. The amount that he invested in Fund B returned a 6% profit. How much d
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Question 1122307: Ali invested his savings in two investment funds. The $24000 that he invested in Fund A returned a 2% profit. The amount that he invested in Fund B returned a 6% profit. How much did he invest in Fund B, if both funds together returned a 3% profit? Answer by ikleyn(52786) (Show Source):
x = amount invested in Fund A.
y = amount invested in Fund B.
From the condition you have this system of 2 equations in 2 unknowns
x + y = 24000, (1)
0.02x + 0.06*y = 0.03*24000. (2)
Multiply eq(1) by 0.02 (both sides). You will get the system in the form
0.02x + 0.02y = 0.02*24000, (1')
0.02x + 0.06*y = 0.03*24000. (2')
Subtract eq(1') From eq(2') (both sides). You will get
0.04y = 0.01*24000 ====> y = = 6000.
Answer. $6000 was invested at 6%. The rest $24000 - $6000 = $18000 was invested at 2%.
Check. 0.06*6000 + 0.02*18000 = 720 dollars.
0.03*24000 = 720 dollars. ! Correct !
Solved.
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It is a typical and standard problem on investment.
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).
