Question

Jose invests $10900 in two different accounts. The first account paid 8 %, the second account paid 11 % in interest. At the end of the first year he had earned $1052 in interest. How much was in each account?
$______ at 8 %

$_______at 11 %

Answer 1

Answer: $4900 at 8%

$6000 at 11%

Step-by-step explanation:

Let x represent the amount which he invested in the account paying 8% interest.

Let y represent the amount which he invested in the account paying 11% interest.

Jose invests $10900 in two different accounts. The first account paid 8 %, the second account paid 11 % in interest. This means that

x + y = 10900

The formula for determining simple interest is expressed as

I = PRT/100

Considering the account paying 8% interest,

P = $x

T = 1 year

R = 8℅

I = (x × 12 × 1)/100 = 0.08x

Considering the account paying 11% interest,

P = $y

T = 1 year

R = 11℅

I = (y × 6 × 1)/100 = 0.11y

At the end of the first year he had earned $1052 in interest., it means that

0.08x + 0.11y = 1052 - - - - - - - - - -1

Substituting x = 10900 - y into equation 1, it becomes

0.08(10900 - y) + 0.11y = 1052

872 - 0.08y + 0.11y = 1052

- 0.08y + 0.11y = 1052 - 872

0.03y = 180

y = 180/0.03

y = 6000

x = 10900 - y = 10900 - 6000

x = 4900