<PRE><B>Question 1141590</B>
&lt;br&gt;
(1) Using the standard algebraic approach....&lt;br&gt;
Interest on amount x at 3.5% = (.035)(x)&lt;br&gt;
Interest on amount (80000-x) at 5% = (.05)(80000-x)&lt;br&gt;
Write and solve the equation that says the total interest is $3250.&lt;br&gt;
----------------------------------------------&lt;br&gt;
(2) A different method (much faster and easier, if you understand it)&lt;br&gt;
$80000 at 3.5% = $2800&lt;br&gt;
$80000 at 5% = $4000&lt;br&gt;
Where the actual total interest of $3250 lies between $2800 and $4000 determines the ratio in which the loan is split between the two rates.&lt;br&gt;
3250-2800 = 450; 4000-2800 = 1200; 450/1200 = 3/8&lt;br&gt;
This means 3/8 of the $80,000 loan ($30,000) is at the higher rate.&lt;br&gt;
ANSWER: $30,000 at 5%; $50,000 at 3.5%&lt;br&gt;
CHECK: .05(30000) + .035(50000) = 1500+1750 = 3250</PRE>