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    Working with rate of interests

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    Invest a total of $4000 in 2 stocks that paid 5% and 7% annual interests. At the end of the year total interests from these investments is $230. How much was invested at each rate?

    © BrainMass Inc. brainmass.com December 24, 2021, 4:59 pm ad1c9bdddf
    https://brainmass.com/business/business-math/working-rate-interests-20398

    SOLUTION This solution is FREE courtesy of BrainMass!

    We will prepare two equations from the given data,

    Let the amounts be x and y

    they add up to 4000$, that is x + y = 4000 ------(1)

    We received a total of 230$ as interest,
    that is,

    x * (5/100) + y * (7/100) = 230

    Or, 5x + 7y = 23000 -----(2)

    But we know, y = 4000-x

    Substitute in 2,

    5x + 7 * (4000-x) = 23000

    or, 5x - 7x + 28000 = 23000

    or, -2x = 23000 - 28000 = - 5000

    or x = 2500

    Now, y = 4000 - 2500 = 1500

    Thus the amounts are 2500$ and 1500$

    This content was COPIED from BrainMass.com - View the original, and get the already-completed solution here!

    © BrainMass Inc. brainmass.com December 24, 2021, 4:59 pm ad1c9bdddf>
    https://brainmass.com/business/business-math/working-rate-interests-20398

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