Question

Suppose Lindsay’s mom invests $10,000, part at 3%, and the rest at 2.5%, in interest-bearing accounts.-10,00007.5 The totally yearly investment income (interest) is $283. How much did Lindsay’s mom invest at each rate?

Answer 1

she invested 6600 at 3% and 3400 at 2.5%

Explanation:

Simple interest = amount deposited x time x interest rate

Let the amount deposited in in the account bearing 3% interest by represented with a

Let the amount deposited in in the account bearing 2.5% interest by represented with (10,000 - a)

a x 0.03 + (10,000 - a) x 0.025 = 283

0.03a + 250 - 0,025a = 283

collect like terms

0.03a - 0.025a = 283 - 250

0.005a = 33

a = 6600

the amount deposited in the 2.5% account = 1000 - 6600 = 3400