Question 1153667

On two investments totaling $7,000, Lydia lost 4% on one and earned 6% on the other. If her net annual receipts were $308, how much was each investment?
<pre>Let amount invested in fund that lost 4% be F
Then amount invested in fund that gained 6% = 7,000 - F
We then get: - .04F + .06(7,000 - F) = 308
- .04F + 420 - .06F = 308
- .1F = - 112
F, or amount invested in fund that LOST 4%: {{{highlight_green(matrix(1,3, (- 112)/(- .1), "=", "$1,120"))}}}
Amount invested in fund that GAINED 6%: {{{highlight_green(matrix(1,3, "7,000 - 1,120", "=", "$5,880"))}}}