Question

an investor invested a total of 2500 dollars in two mutual funds.one fund earned 5 percent profitwhile the other earned 3 percent profit. if the total profit was111 dollars how much was invested in each mutual fund. how much is 5 percent​

Answer 1

Total investment=$2500

Let say David earned 5% profit and Harry earned 3% profit.

If David invested y dollar in mutual fund then Harry would invest,

Harry would invest,$(2500-y)

Total profit would equal to sum of 5% of money David invested and 3% of money Harry invested,

So,

5% × y +3% ×(2500-y)=total profit

0.05×y+0.03×(2500-y)=$111

0.05y+0.03×2500-0.03y=111

0.02y+75=111

0.02y=111-75

y=36/0.02

y=$1800

which is the amount David invested.

The amount invested by Harry would be,

=$(2500-1800)

=$700