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You invested a total of $9,000 at 4 1/2 % and 5% simple interest. During one year, the two accounts earned $435. How much did you invest in each account

1 Answer

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Answer:

The amount invested at 4.5% was
\$3,000

The amount invested at 5% was
\$6,000

Explanation:

we know that

The simple interest formula is equal to


I=P(rt)

where

I is the Final Interest Value

P is the Principal amount of money to be invested

r is the rate of interest

t is Number of Time Periods

Let

x -----> the amount invested at 4.5%

9,000-x -----> the amount invested at 5%

in this problem we have


t=1\ year\\ P1=\$x\\ P2=\$(9,000-x)\\I=\$435\\r1=0.045\\r2=0.05

substitute


435=x(0.045*1)+(9,000-x)(0.05*1)


435=0.045x+450-0.05x


0.05x-0.045x=450-435


0.005x=15


x=\$3,000

so


9,000-x=\$6,000

therefore

The amount invested at 4.5% was
\$3,000

The amount invested at 5% was
\$6,000

User Arnab Bhagabati
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