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3 years ago

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A woman has a total of $14,000 to invest. She invests part of the money in an account that pays 9% per year and the rest in an a

ccount that pays 12% per year. If the interest earned in the first year is $1350, how much did she invest in each account?

1 answer:

MrMuchimi3 years ago

7 0

The amount invested in both the 9% and 12% account are :

9% = $11,000
12% = $3000

Let :

Amount invested in 9% account = p

Amount invested in 12% account = 14000 - p

Total interest earned = 1350

Recall :

Simple interest = Principal × rate × time

Interest from 9% account + interest from 12% account = 1350

(p × 9% × 1) + ((1400 - p) × 12% × 1) = 1350

0.09p + 1680 - 0.12p = 1350

-0.03p = 1350 - 1680

-0.03p = - 330

p = 330 / 0.03

p = 11000

Hence,

Amount invested in 9% account = 11,000

Amount invested in 12% account = 14000 - 11000 = 3000

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