Question

Alonzo invested his savings in two investment funds. The amount he invested in Fund A was $2000 less than the amount he invested in Fund B. Fund A returned a 7% profit and Fund B returned a 8% profit. How much did he invest in Fund B, if the total profit from the two funds together was $1960?

Answer 1

Answer:

There were $13,200 in Fund B.

Step-by-step explanation:

We are given the following in the question:

Let x be the amount in Fund A and y be the amount in Fund B.

The amount he invested in Fund A was 2000$ less than the amount he invested in Fund B.

Thus, we can write the equation:

$x = y -2000$

Profit percent on Fund A = 7%

Profit percent on Fund B = 8%

Total profit = $1960

Thus, we can write the equation:

$7\%(x) + 8\%(y) = 1960\\7x + 8y = 196000$

Solving the two equations by substitution, we get,

$7(y-2000) + 8y = 196000\\\Rightarrow 15y = 198000\\\Rightarrow y = 13200\\\Rightarrow x = 11200$

Thus, there were $13,200 in Fund B.