SOLUTION: Amanda invests $25,000, part at 5% and the rest at 6%. The annual return on the 5% investment exceeds the annual return on the 6% investment by $40. How much did she invest at each

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Question 1151748: Amanda invests $25,000, part at 5% and the rest at 6%. The annual return on the 5% investment exceeds the annual return on the 6% investment by $40. How much did she invest at each rate?
Answer by MathLover1(20850) About Me  (Show Source):
You can put this solution on YOUR website!

Amanda invests $25000
part x at 5% and the rest25000-x at 6%
The annual return on the 5%=0.05 investment exceeds the annual return on the 6%=0.06 investment by $40.
so,
0.05x+=+0.06%2A%2825000+-+x%29+%2B+40
0.05x+=+1500+-+0.06x%2B+40
0.05x%2B+0.06x=+1540+
0.11x=+1540+
x=+1540%2F0.11+
x=+14000+

so, 14000 is invested at 5% and 25000-14000=11000 at 6%


check interest difference:
5%=0.05 of 14000 is: 14000%2A0.05=700
6%=0.06 of 11000 is: 11000%2A0.06=660
700-660=40-> which confirms our solution