Question

Jeremy invests $4700 in two different accounts. The first account paid 14 %, the second account paid 11 % in interest. At the end of the first year he had earned $601 in interest. How much was in each account?

Answer 1

$2,800 was in the first account while $1,900 was in the second account

Explanation:

Here, we want to know the amount of money in each account.

Let the amount in the first account be $x while the amount in the second account be $y

The addition of both gives $4,700

Mathematically;

x + y = 4700 ••••••••(i)

The amount of interest on first account is 14% = 14/100 * x = 14x/100

The amount of interest on second account is 11% = 11/100 * y = 11y/100

So the addition of both gives the total interest;

14x/100 + 11y/100 = 601

Multiply through by 100

14x + 11y = 60100 •••••••(ii)

From i, x = 4700-y

Substitute this into equation ii

14(4700-y) + 11y = 60100

65800 -14y + 11y = 60100

65800 -3y = 60100

3y = 65800 -60100

3y = 5700

y = 5700/3

y = 1900

Recall from substitution x = 4700 -y

x = 4700 -1900

x = 2800