SOLUTION: Franco invested $4000 in money market funds. Part was invested at 14% interest, the rest at 11% interest. At the end of each year the fund company pays interest. After one year he
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Question 955462: Franco invested $4000 in money market funds. Part was invested at 14% interest, the rest at 11% interest. At the end of each year the fund company pays interest. After one year he earned $482 in simple interest. How much was invested at each interest rate? Answer by macston(5194) (Show Source):
You can put this solution on YOUR website! F=part invested at 14%; E=part invested at 11%
F+E=$4000
E=$4000-F
0.11E+0.14F=$482 Substitute for E.
0.11($4000-F)+0.14F=$482.
$440-0.11F+0.14F=$482 Subtract $440 from each side.
0.03F=$42 Divide each side by 0.03.
F=$1400 ANSWER 1: $1400 was invested at 14%.
E=$4000-$1400=$2600 ANSWER 2: $2600 was invested at 11%
CHECK:
0.11E+0.14F=$482
0.11($2600)+0.14($1400)=$482
$286+$196=$482
$482=$482
