SOLUTION: an investment of $20,000 is made in a 10.5% simple interest account. How much additional money must be deposited into an 8% simple interest account so that the total interest earne

Algebra ->  Percentages: Solvers, Trainers, Word Problems and pie charts -> SOLUTION: an investment of $20,000 is made in a 10.5% simple interest account. How much additional money must be deposited into an 8% simple interest account so that the total interest earne      Log On


   

Question 24949: an investment of $20,000 is made in a 10.5% simple interest account. How much additional money must be deposited into an 8% simple interest account so that the total interest earned on both accounts is 9% of the total investment?
Answer by wuwei96815(245) About Me  (Show Source):
You can put this solution on YOUR website!
Let x = the additional money that needs to be deposited. Let's write an equation that shows the relationship between the two accounts.

10.5%(20,000) + 8%(x) = 9%(20,000 + x)
2,100 + .08x = 1,800 + .09x
2,100 - 1,800 = .09x - .08x
300 = .01x
30,000 = x

I hope that is right.