Question

Mr. Wilson invested money in two accounts. His total investment was $20,000. If one account pays 3% in interest and the other pays 6% in interest, how much does he have in each account if he earned a total of $960 in interest in 1 year?

He invested $__ in the 3% account and $__ in the 6% account.

Answer 1

8000 and 12,000

Explanation:

Let the amount of money deposited in the 3% account be known as "x"

The amount of money deposited in the 6% account would be "20,000 - x" (aka the remaining amount of money not put into the first account)

3% Interest -> 0.03 *

6% Interest -> 0.06 *

0.03 * x + 0.06 * (20,000 - x) = 960

0.03x + 1200 - 0.06x = 960

-0.03x = -240

x = 8000

20,000 - x

20,000 - 8000 = 12000