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Lorico [155]
2 years ago
8

Lake has a total of $10,000 to invest in two accounts. One account earns 1% simple interest, and the other earns 10% simple inte

rest. How much should be invested in each account to earn exactly $280 at the end of 1 yr?
Part 1 of 2
$ should be invested in the 1% account.


Part 2 of 2
$ should be invested in the 10% account.
Mathematics
1 answer:
Elza [17]2 years ago
5 0

Answer:

  1. $8000 at 1%
  2. $2000 at 10%

Step-by-step explanation:

It often works well to let a variable represent the amount invested at the higher rate. Then an equation can be written relating amounts invested to the total interest earned.

__

<h3>setup</h3>

Let x represent the amount invested at 10%. Then 10000-x is the amount invested at 1%. The total interest earned is ...

  0.10x +0.01(10000 -x) = 280

<h3>solution</h3>

Simplifying gives ...

  0.09x +100 = 280

  0.09x = 180 . . . . . . . subtract 100

  x = 2000 . . . . . . divide by 0.09

  10000 -x = 8000 . . . . amount invested at 1%

<h3>1.</h3>

$8000 should be invested in the 1% account

<h3>2.</h3>

$2000 should be invested in the 10% account

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