Ms. Hagan invested twice as much money in an account that pays 7% interest as she did in an account that pays 6% in interest. He
1 answer:
Answer: She invested $5000 in an account that pays 6% interest and $10000 in an account that pays 7% interest.
Step-by-step explanation:
Let P be the initial amount she invested in an account that pays 6% interest.
Then, amount invested in other account = 2P
Simple interest = Principal x rate x time
After one year, for the first account,
Interest = P(0.06)(1) = 0.06P
For second account,
Interest = (2P)(0.07)(1)=0.14P
Total interest =
2P = 2(5000)=10000
Hence, She invested $5000 in an account that pays 6% interest and $10000 in an account that pays 7% interest.
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