Question

In planning her retirement, Liza deposits some money at 4% interest, with twice as much deposited at 4.5%. Find the amount deposited at each rate if the total annual interest income is $2080

Answer 1

16,000 4% income and 32,000 4.5% income

Answer 2

Answer: $16,000 and $32,000

Explanation:

given data:

annaul interest income = $2080

first deposit rate = 4%

second deposit rate = 4.5%

Solution:

let x = amount invested at 4%.

let 2x = amount invested at 4.5%.

0.04x + 0.045* 2x = $2080

0.04x + 0.09x = $2080

0.13x = $2080

divide both sides by 0.13

x = $16,000

amount deposited at 4% = $16,000.

amount deposited at 4.5%

2x = 2( $16,000 )

= $32,000