Question

Mr. Bean invested a part of Php 120000 at 7% per year and the rest at 8% per year and ended up breaking even. How much did he invest at the higher rate?

Answer 1

Mr. Bean invested Php 960000 at the higher rate.

Step-by-step explanation:

To find out how much Mr. Bean invested at the higher rate, let's assume he invested x amount at 7% and (Php 120000 - x) at 8%. Since he ended up breaking even, the interest earned on both investments must be the same. We can set up the equation:

0.07x = 0.08(Php 120000 - x)

Simplifying the equation, we get:

0.07x = 0.08x - 9600

0.01x = 9600

x = Php 960000

Therefore, Mr. Bean invested Php 960000 at the higher rate.