Question

A bank loaned out $28,500, part of it at the rate of 14% annual interest, and the rest at 4% annual

Answer 1

Answer:

$15,000 was invested at 14% per year, and $13,500 was invested at 4% per year.

Step-by-step explanation:

Given that a bank loaned out $ 28,500, part of it at the rate of 14% annual interest, and the rest at 4% annual interest, and the total interest earned for both loans was $ 2,640.00, to determine how much was loaned at each rate you must perform the following calculations:

28,500 x 0.14 + 0 x 0.04 = 3,990

20,000 x 0.14 + 8,500 x 0.04 = 3,140

15,000 x 0.14 + 13,500 x 0.04 = 2,640

Therefore, $ 15,000 was invested at 14% per year, and $ 13,500 was invested at 4% per year.