SOLUTION: A financial advisor invested a total of $10000 , part at 7.5% per annum compounded annually, part at 8% per annum compounded annually. At the end of the first year, a total of $780
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Question 866234: A financial advisor invested a total of $10000 , part at 7.5% per annum compounded annually, part at 8% per annum compounded annually. At the end of the first year, a total of $780 interest had been earned. How much had been invested at each interest rate? Answer by mananth(16946) (Show Source):
You can put this solution on YOUR website! Part I 7.50% per annum ------------- Amount invested =x
Part II 8.00% per annum ------------ Amount invested = y
10000
Interest----- 780.00
Part I 7.50% per annum ---x
Part II 8.00% per annum ---y
Total investment
x + 1 y= 10000 -------------1
Interest on both investments
7.50% x + 8.00% y= 780
Multiply by 100
7.5 x + 8 y= 78000.00 --------2
Multiply (1) by -7.5
we get
-7.5 x -7.5 y= -75000.00
Add this to (2)
0 x 0.5 y= 3000
divide by 0.5
y = 6000
Part I 7.50% $ 4000
Part II 8.00% $ 6000
