Question

A total of $5000 is invested: part at 9% and the remainder at 14%. How much is invested at each rate if the annual interest is $460?

Answer 1

9514 1404 393

Answer:

• $200 at 14%
• $4800 at 9%

Explanation:

Let x represent the amount invested at 14%. Then 5000-x is the amount invested at 9%. The interest earned is ...

(14%)x +(9%)(5000 -x) = 460

0.05x +450 = 460 . . . . . . . . . . simplify

0.05x = 10 . . . . . . . . . . . . . . subtract 450

x = 200 . . . . . . . . . . . . . . divide by 0.05

5000-x = 5000-200 = 4800

$200 was invested at 14%; $4800 was invested at 9%.