Problema Solution

Don Antonio invested part of 30000 pesos at 5% interest and the remaining amount at 6% interest at BPI.If his investment yields an annual income of 1620 pesos, how much did he invest at 6%?

Answer provided by our tutors

P = 30,000 pesos

r1 = 0.05 or 5% annual interest

r2 = 0.06 or 6% annual interest

I = 1,620 pesos

x = the money invested at 5%

y = the money invested at 6%

x + y = P

r1x + r2y = I

If we plug the given values we have:

x + y = 30000

0.05x + 0.06y = 1620

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

........

x = 18,000 pesos

y = 12,000 pesos

Don Antonio invested 12,000 pesos at 6%.