Question

Barneys money earned $204 in interest after 1 year. He invested some of his money in an account earning 6% simple interest and $405 more than that amount in an account earning 5% simple interest. Find the amount Barney invested in each account ? plz show work ..

Answer 1

Let P be the principal.

SI from the first account = $\frac{PNR}{100}$

$=\frac{x(1)(6)}{100}$

$=\frac{6x}{100}$

SI from the second account = $\frac{(x+405)(1)(5)}{100}$

$=\frac{5(x+405)}{100}$

Total money earned in interest after 1 year = $204.

Therefore, $\frac{6x}{100} +\frac{5(x+405)}{100} =204$

$\frac{6x+5x+2025}{100} = 204$

$\frac{11x+2025}{100} =204$

11x + 2025 = 20400

11x = 20400 - 2025

11x = 18375

x = 18375/11

x = 1670.45

x + 405 = 1670.45 + 405 = 2075.45

Hence, Barneys investment in the first account is $1670.45 and her investment in the second account is $2075.45.