Question

Horace invested $70,000 in two stocks. After 1 year, one of the stocks increased by 13%, while the stocks declined by 5%. His total gain for the year was $2800. How much was invested in the stock that earned 13%. How much was invested in the stock that lost 5%?​

Answer 1

Explanation:

x = loser stock investment amount

70 000 - x = gainer investment amount

5% is .05 in decimal 13% is .13 in decimal

- .05 ( x) + .13 (70 000 - x ) = 2800 <=====solve for 'x'

- .05x + 9100 -.13x = 2800

- .18x = - 6300

x = $ 35000 the gainer amount was then also $ 35000

( since they sum to 70000)