SOLUTION: Two business partners decided to borrow $30,000 start-up money for their business. One borrowed a certain amount at a 16.5% interest rate and the other one borrowed the rest of th

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Question 910675: Two business partners decided to borrow $30,000 start-up money for their business. One borrowed a certain amount at a 16.5% interest rate and the other one borrowed the rest of the money at a 12.5% interest rate. How much money did each business partner borrow if the total interest amount at the end of the year was $4150
Answer by richwmiller(17219) About Me  (Show Source):
You can put this solution on YOUR website!
Total amount of money invested: $30000
x+y=30000,
Total yearly interest for the two accounts is: $4150
0.165*x+0.125*y=4150
x=30000-y
Substitute for x
0.165*(30000-y)+0.125*y=4150
Multiply out
4950.0-0.165*y+0.125*y=4150
Combine like terms.
-0.04*y=-800.0
Isolate y
y=$ 20000.00 at 12.5%
x=30000-y
Calculate x
x=$ 10000.00 at 16.5%
Check
0.165*10000+0.125*20000=4150
1650.0+2500.0=4150
4150.0=4150
If this statement is TRUE and neither x nor y is negative then all is well
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