Question

Last year, Heather had $20,000 to invest. She invested some of it in an account that paid 6% simple interest per year, and she invested the rest in an account that paid 8% simple interest per year. After one year, she received a total of $1440 in interest. How much did she invest in each account?

Answer 1

Answer:

The money invested in the account 1 was $8,000 and in the account 2 was 12,000.

Step-by-step explanation:

In this case we can formulate a system of equations that could find the amount invested in each account, this is:

Money invested in the account 1 is A

Money invested in the account 2 is B

Eq. 1: $A+B=20,000$

Eq. 2: $\frac{6}{100} *A+\frac{8}{100} *B=1,440$

Replacing the equation 1 in 2, this is:

$\frac{6}{100} *(20,000-B)+\frac{8}{100} *B=1,440$

$1,200-0.06B+0.08B=1,440$

$0.02B=1,440-1,200$

$B=\frac{240}{0.02}$

$B=12,000$

Now, we can find A:

$A=20,000-B$

$A=20,000-12,000$

$A=8,000$

The money invested in the account 1 was $8,000 and in the account 2 was 12,000.