Math

posted by .

Nico was stunned when he opened the mail. Here was a check for \$322.50! This was the interest he earned on his investment. One year ago Nico had been given \$5,000. His parents made him put it in the bank and save it for college, but they said he could keep the interest it earned each year. A portion of his money in a high rate account that earned 8% annual interest. The rest is in a regular account that earned 3%. Both accounts pay simple interest computed at the end of each year. How much of Nico's money was invested in each account?

• Math -

The formula is PRT=I
P * R * T = I
1st invest: x 8% 1 .08*1*x
2nd invest: y 3% 1 .03*1*y
total:5000 322.50
you will have 2 equations and will use the substitution
x+y=5000 x=5000-y
.08x+.03y=322.50
.08(5000-y)+.03=322.50
and you finish solving from here, hope this helped.

• Math -

• Math -

77.8

Similar Questions

1. Algebra investment

An investor had a total of 25,000 put into a portfolio of stocks, bonds, and mutual funds. In one year, he earned 8% on the stock investment, 10% on the bond investment and 6% on the mutual funds investment. The annual(simple interest) …
2. word problem

An investment of \$93,000 was made by a business club. the investment was split into three parts and lasted for one year. The first part of the investment earned 8% interest, the second earned 6% and the third 9%. total interest from …
3. ALGEBRA

An investment of \$93,000 was made by a business club. the investment was split into three parts and lasted for one year. The first part of the investment earned 8% interest, the second earned 6% and the third 9%. total interest from …
4. Math Economics

1. Jacksonville Technical College received \$3,445,553 in state aid on September 15 for the fall academic semester. The vice-president for finance decided to invest \$2,000,000 in a 2-month investment that pays 11.5% simple interest. …
5. Math

. Jacksonville Technical College received \$3,445,553 in state aid on September 15 for the fall academic semester. The vice-president for finance decided to invest \$2,000,000 in a 2-month investment that pays 11.5% simple interest. …
6. MATH

An investment adviser invested \$14,000 in two accounts. One investment earned 7% annual simple interest, and the other investment earned 5.5% annual simple interest. The amount of interest earned for 1 year was \$884. How much was invested …