Last year Sarah invested money in two accounts. The first account had an interest rate of 4%4% and the second account had an interest rate of 3%3%. If she invested $700$700 more in the first account than the second and her total interest income was $392$392, how much did she invest at each rate?
Question
Last year Sarah invested money in two accounts. The first account had an interest rate of 4%4% and the second account had an interest rate of 3%3%. If she invested 700 more in the first account than the second and her total interest income was 392, how much did she invest at each rate?
Solution
Let's denote the amount of money Sarah invested in the second account as X. Therefore, the amount of money she invested in the first account is X + $700.
Since the total interest income was $392, we can set up the following equation:
0.04 * (X + 392
This equation represents the sum of the interest from both accounts. The 0.04 and 0.03 are the interest rates of the first and second account respectively.
Now, let's solve this equation:
0.04X + 392 0.07X + 392 0.07X = 28 0.07X = 364 / 0.07 X = $5200
So, Sarah invested 5200 + 5900.
Therefore, Sarah invested 5200 at 3%.
Similar Questions
Last year Sarah invested money in two accounts. The first account had an interest rate of 3%3% and the second account had an interest rate of 2%2%. If she invested $600$600 more in the first account than the second and her total interest income was $388$388, how much did she invest at each rate?Step 3 of 3: Solve the equation found in part 2 for x. Use this information to answer the given word problem.
Last year Rachel invested money in two accounts. The first account had an interest rate of 6%6% and the second account had an interest rate of 4%4%. If she invested $800$800 more in the first account than the second and her total interest income was $238$238, how much did she invest at each rate?Step 2 of 3: Use the table from part 1 to help write a linear equation that represents the given word problem. (Use x to represent the unknown quantity.) Do not simplify your answer.
Two investments totaling $38,500$38,500 produce an annual income of $2805$2805. One investment yields 3%3% per year, while the other yields 9%9% per year. How much is invested at each rate?
Naomi invested $860 in an account paying an interest rate of 3, start fraction, 3, divided by, 4, end fraction3 43 % compounded monthly. Matthew invested $860 in an account paying an interest rate of 4, one quarter4 41 % compounded annually. After 10 years, how much more money would Matthew have in his account than Naomi, to the nearest dollar?
Last year, Matías had US$30.000 to invest. He invested some of it in an account that paid 7% simple interest per year, and he invested the rest in an account that paid 6% simple interest per year. After one year, he received a total of US$1830 in interest. How much did he invest in each account?
Upgrade your grade with Knowee
Get personalized homework help. Review tough concepts in more detail, or go deeper into your topic by exploring other relevant questions.