Answer:
$4,000 was invested at 14% per year, while $ 4,500 was invested at 5% per year.
Step-by-step explanation:
Given that a bank loaned out $ 8,500, part of it at the rate of 14% annual interest, and the rest at 5% annual interest, and the total interest earned for both loans was $ 785.00, to determine how much was loaned at each rate you must perform the following calculation:
8,500 x 0.14 + 0 x 0.05 = 1,190
6,500 x 0.14 + 2,000 x 0.05 = 1,010
4,500 x 0.14 + 4,000 x 0.05 = 830
4,000 x 0.14 + 4,500 x 0.05 = 785
Thus, $ 4,000 was invested at 14% per year, while $ 4,500 was invested at 5% per year.
