Question

Mrs. Powell has $800 invested in stocks and $500 invested in a Certificate of Deposit. The CD has an interest rate twice as great as the stocks. If her annual interest on these two investments is $45, at what rate of interest is the $500 invested?

Answer 1

Let's use the variable "r" to represent the investment rate of the stocks:
2r(500) + r(800) = 45
1000r + 800r = 45
1800r = 45
r = 0.025
2r = 0.05
The $500 is invested at 5%

Answer 2

Answer:

$500 at 5%

Step-by-step explanation: