SOLUTION: I am having a problem setting this question up to solve
Jolene invests her savings in two bank accounts, one paying 3 percent and the other paying 8 percent simple interest per
Question 509643: I am having a problem setting this question up to solve
Jolene invests her savings in two bank accounts, one paying 3 percent and the other paying 8 percent simple interest per year. She puts twice as much in the lower-yielding account because it is less risky. Her annual interest is 6076 dollars. How much did she invest at each rate?
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You can put this solution on YOUR website! Let S = the total amount of Jolene's savings.
She invests two thirds of S in the bank that pays 3% interest and the remaining one third of S in the bank that pays 8% interest.
So we can write the equation that relates the interest amounts earned at each bank to the total amount of interest earned ($6,076). It will make the calculations a little easier if we change the interest rates to fractions. % = = and %= Now simplify the left side of the equation. Add the fractions. Simplify. Multiply both sides by 300. Divide both sides by 14.
Jolene's total invested savings is:
$130,200
Two thirds of this are invested at 3%, so... =
$2,604 interest was earned at 3% per annum.
One third of $130,200 was invested at 8%, so... =
$3,472 interest was earned at 8% per annum.
The the total interest is: = $6,076
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