Question

Emma has money in two savings accounts. One rate is 7%, and the other is 8%. If she has $400 more in the 8% account, and the total interest is $332, how much is invested in each savings account?

a) $800 in the 7% account, $1,200 in the 8% account
b) $1,200 in the 7% account, $800 in the 8% account
c) $1,600 in the 7% account, $1,200 in the 8% account
d) $1,200 in the 7% account, $1,600 in the 8% account

Answer 1

Emma has $1,200 in the 7% account and $1,600 in the 8% account.

Step-by-step explanation:

Let's assume Emma has x amount of money invested in the 7% account.

Since she has $400 more in the 8% account, she has x + $400 invested in the 8% account.

The interest on the 7% account can be calculated as 0.07x and the interest on the 8% account can be calculated as 0.08(x + $400).

According to the given information, the total interest is $332. So, we can write the equation: 0.07x + 0.08(x + $400) = $332.

Solving this equation will give us the value of x, which is the amount Emma has invested in the 7% account. By substituting this value back into the equation, we can find the amount she has invested in the 8% account as well.

Therefore, the correct answer is d) $1,200 in the 7% account, $1,600 in the 8% account.