Question 1199224: A total of $500,000 was invested into two accounts. One fund pays 5.2% and the second one pays 7.7% per annum. How much would be invested in each fund to produce an annual combined interest income of $34,000?
Answer by Shin123(626)   (Show Source):
You can put this solution on YOUR website! Let the amount of money invested into the first fund be  , and the amount of money invested into the second fund be  . Since we know that $500,000 was invested in total, we know that  . In addition, since we know how much each fund makes, we also know that  .
We have the system of equations  . To get rid of the decimals, we multiply both sides of the second equation by  to get  . Multiplying both sides of the first equation by 77, we get  . Subtracting the second equation from the first, we get  . Dividing both sides by  , we get  . Since we know that $500,000 was invested in total, we have  . Therefore, $180,000 was invested into the first fund, and $320,000 was invested into the second fund.
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