Problema Solution
one year, a client receives $1,120 in simple interest from three investments that total $25,000. Part is invested at 3%, part at 4%, and part at 5%. There is $11,000 more invested at 5% than at 4%. How much was invested at each rate?
Answer provided by our tutors
Let
x = the money invested at 3%
y = the money invested at 4%
z = the money invested at 5%
x + y + z = 25,000
z = y + 11,000
0.03x + 0.04y + 0.05z = 1,120
........
click here to see the equation solved for x, y and z
........
x = $4,000
y = $5,000
z = $6,000
$4,000 were invested at 3%, $5,000 were invested at 4% and $6,000 were invested at 5%.