SOLUTION: A teenager has $10,000 invested in a checking
account paying 2.5% per year and a savings
account paying 6.5% per year. The total
interest earned in the two accounts at the end
Algebra ->
Finance
-> SOLUTION: A teenager has $10,000 invested in a checking
account paying 2.5% per year and a savings
account paying 6.5% per year. The total
interest earned in the two accounts at the end
Log On
Question 1184690: A teenager has $10,000 invested in a checking
account paying 2.5% per year and a savings
account paying 6.5% per year. The total
interest earned in the two accounts at the end
of the year was equivalent to an annual rate of
6% on the entire $10,000. How much was
invested in each account? Answer by math_helper(2461) (Show Source):
Let x = amount invested at 2.5%
then 10000-x = amount invested at 6.5%
(0.025)x + (0.065)(10000-x) = (0.06)(10000)
Solve the above for x:
x = (= amount invested at 2.5%)
10000-x = (= amount invested at 6.5%)
Check:
0.025(1250) + 0.065(8750) = 600 = 0.06(10000)
