SOLUTION: If $2000 is invested at 10% simple annual interest, how much should be invested at 12% annual simple interest so that the total yearly income from both investments is $5000?

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Question 255973: If $2000 is invested at 10% simple annual interest, how much should be invested at 12% annual simple interest so that the total yearly income from both investments is $5000?

Answer by MRperkins(300) About Me  (Show Source):
You can put this solution on YOUR website!
I=PRT
Total interest =PRT of the first investment + PRT of the second investment
Let x=the principle of the second investment
5000=2000(.10)(1)+x(.12)(1)
5000=200+.12x
4800=.12x
x=$40,000
Therefore,$40,000 should be invested at 12% interest to make the total yearly income from both investments equal to $5,000.