Question

Need help with interest rate question then I am done! Please help!
A sum of $15,000 is split, and the two parts are invested at 8% and 6%, respectively. If the interest for the 8% exceeds the interest from the 6% investment by $360, how much is invested at each rate?

Answer 1

I really don't have a formula to solve this, but maybe if you guess and check you can figure this out. I'd start with splitting it evenly.
15000/2 = 7500
7500*0.08= 600
7500*0.06= 450

that's only a 150 difference, so you know you need more in the 8% account... try out a few numbers and I bet you'll find it!

Also, sorry that I don't have a quick and easy formula for ya. I wish I could be of more help, but this is what I would do in your situation. :) good luck!

Answer 2

Thanks for attempting no one else has even tried haha.

Answer 3

I'd probably be able to think of something easier but I don't think I've had enough coffee yet :P

Answer 4

oh...this is just basically solving 1 equation and subbing in what you get here like this

Answer 5

So you have x + y = 15000 right?

(x * .08) - (y * .06) = $360

Answer 6

so lets solve for x first

y = 15000 - x right?

Now plug that into the second equation

(x * .08) - ((15000-x) * .06) = $360

now distribute that

.08x - 900 + .06x = 360

combine like terms

.14x = 1260

and divide by .14

x = 9000

Now sub back into the first to find y

9000 + y = 15000

y = 6000


To check

(9000 * .08) - (6000 * .06) = $360

720 - 360 = 360?

Yes it does :)