SOLUTION: A woman has a total of $8,000 to invest. She invests part of the money in an account that pays 8% per year and the rest in an account that pays 12% per year. If the interest earned

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Question 1185459: A woman has a total of $8,000 to invest. She invests part of the money in an account that pays 8% per year and the rest in an account that pays 12% per year. If the interest earned in the first year is $800, how much did she invest in each account?
Answer by greenestamps(13198) About Me  (Show Source):
You can put this solution on YOUR website!


The quick look solution:

$800 interest on an $8000 investment is a 10% return.
10% is exactly halfway between 8% and 12%.
Therefore half the total was invested at each rate.

ANSWER: $4000 at 8% and $4000 at 12%.

CHECK: .08(4000)+.12(4000)=320+480=800

A typical formal algebraic solution....

x = amount invested at 12%
8000-x = amount invested at 8%

The total interest was $800:

.12%28x%29%2B.08%288000-x%29=800

Solve using basic algebra....