Problema Solution

An investment adviser invested $14,000 in two accounts. One investment earned 6% annual simple interest, and the other investment earned 3.5% annual simple interest. The amount of interest earned for 1 year was $680. How much was invested in each account?

Answer provided by our tutors

Let

x = the amount of money invested in the account that earns 6% annual simple interest

y = the amount of money invested in the account that earns 3.5% annual simple interest

x + y = 14,000

0.06x + 0.035y = 680

........

click here to see the system of equations solved for x and y

........

x = $7,600

y = $6,400

$7,600 were invested in the account that earns 6% annual simple interest and $6,400 were invested in the account that earns 3.5% annual simple interest.