Question

Amanda invested a total of 50,000 in three accounts. Account A pays 3% annual interest , account B pays 2% and account C pays 4% interest. The total anual interest from the three accounts is 1,700. The amount invested in account A is four times the amount invested in B. How much did she invest in account A?

Answer 1

Amanda invested $ 20,000 in Account A

Explanation:

1. Let's review the information given to us to answer the question correctly:

Total investment = $ 50,000

Account A annual interest = 3% = 0.03

Account B annual interest = 2% = 0.02

Account C annual interest = 4% = 0.04

Total annual interest = $ 1,700

The amount invested in account A is four times the amount invested in B.

2. How much did she invest in account A?

Let's answer the question, using the following equation:

x = Amount invested in account B

4x = Amount invested in account A

50,000 - 5x = Amount invested in account C

0.03 * 4x + 0.02x + 0.04 * (50,000 - 5x) = 1,700

0.12x + 0.02x - 0.2x = 1,700 - 2,000 (Like terms)

-0.06x = - 300

x = 300/0.06

x = 5,000 ⇒ 4x = 4 * 5,000 = 20,000 ⇒ 50,000 - 5x = 25,000

Amanda invested $ 20,000 in Account A, $ 5,000 in Account B and $ 25,000 in Account C.