SOLUTION: Peter has half of his investments in stock paying an 8% dividend and the other half in a stock paying 15% interest. If his total annual interest is $690, how much does he have inve

Algebra ->  Coordinate Systems and Linear Equations  -> Linear Equations and Systems Word Problems -> SOLUTION: Peter has half of his investments in stock paying an 8% dividend and the other half in a stock paying 15% interest. If his total annual interest is $690, how much does he have inve      Log On


   

Question 1198460: Peter has half of his investments in stock paying an 8% dividend and the other half in a stock paying 15% interest. If his total annual interest is $690, how much does he have invested?
Answer by greenestamps(13200) About Me  (Show Source):
You can put this solution on YOUR website!


If he has equal amounts returning 8% and 15%, then his average return is (8+15)/2 = 11.5%.

The amount of his return on his investment of $x is $690:

0.115x+=+690
x+=+690%2F0.115+=+6000

ANSWER: $6000

Formal algebra, if required....

x = total invested, so 0.5x returning 8% and 0.5x returning 15%:

.08%28.5x%29%2B.15%28.5x%29=690
.04x%2B.075x=690
.115x=690
x=690%2F.115+=+6000