Answer:
The amount invested at 12% is $24,000
The amount invested in stock is $2,000
Step-by-step explanation:
If Susan invested $26000 and made a net profit of $2780, the total money she made will be:
Total amount made = $26,000 + $2780
Total amount made = $28,780
Let the amount invested in a fund that paid 12% profit be "x"
The amount invested in a stock that suffered a 5% loss be 26,000 - x
Since the fund made a profit of 12%, the total amount made on the fund will be x + 0.12x = 1.12x
Similarly, the amount made on a stock at a loss of 5% will be
0.95(26000-x)
Taking the sum of both expression and equating to the total amount made will give;
28,780 = 1.12x + 0.95(26000-x)
Solve for "x" from the resulting equation;
28,780 = 1.12x + 24,700 - 0.95x
Collect the like terms:
28,780 - 24,700 = 1.12x - 0.95x
4,080 = 0.17x
x = 4,080/0.17
x = $24,000
This shows that the amount invested that earned 12% profit is $24,000
The amount invested in stock that suffered 5% loss is (26,000 - 24,000) = $2,000