Question

Two investments were made totaling $15,000. For a certain year these investments yeild $1326 in simple interest. Part of the 15,000 was invested at 14% and part at 16%. Find the amount invested at each rate

Answer 1

For simple interest, the interest earned, i, is
i = prt
where p = principal,
r = rate,
t = time

Answer 2

Let x = amount invested at 14%, and y = amount invested at 16%.

Then using i = prt, you get:

For the amount invested at 14%
\(i_{14} = x(14\%)(1) = 0.14x\)

For the amount invested at 16%
\(i_{16} = y(16\%)(1) = 0.16y \)

The total interest earned is
\(i_{14} + i_{16}\) and equals $1326.

0.14x + 0.16y = 1326 Eq. 1

The total amount invested is
x + y = 15000 Eq. 2

Solve equations 1 and 2 as a system of equations to find the amounts.

Answer 3

Ahh I see.. Alright I'll see what I've got from it.

Answer 4

ok thanks for the help ^^