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An investor invested a total of $2,300 in two mutual funds. One fund earned a 8% profit while the other earned a 2% profit. If the investors total profit was $82, how much was invested in each mutual fund

User Randomguy
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1 Answer

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Answer: the amount invested on the first mutual fund is $600 and the the amount invested on the second mutual fund is $1700

Explanation:

Let x represent the amount of money that the investor invested in one mutual fund.

Let y represent the amount of money that the investor invested in the second mutual fund.

An investor invested a total of $2,300 in two mutual funds. This means that

x + y = 2300

Considering the first mutual fund, it earned a 8% profit. This means that amount earned is

8/100 × x = 0.08x

Considering the second mutual fund, it earned a 2% profit. This means that amount earned is

2/100 × y = 0.02y

If the investors total profit was $82, it means that

0.08x + 0.02y = 82 - - - - - - - - 1

Substituting x = 2300 - y into equation 1, it becomes

0.08(2300 - y) + 0.02y = 82

184 - 0.08y + 0.02y = 82

- 0.08y + 0.02y = 82 - 184

- 0.06y = - 102

y = - 102/- 0.06 = 1700

x = 2300 - y = 2300 - 1700

x = 600

User Saurabh Meshram
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