Problema Solution

Jose invests money in two simple interest accounts. he invests four times as much in an account paying 12% as he does in an account paying 6%. If he earns $216.00 in interest in one year from both accounts combines, how much did he invest altogether?

total principal in Both Accounts=

Answer provided by our tutors

Let he invested x dollars in account paying 6% then he had invested 4x dollars in account paying 12%.

So,

 

0.06x + 0.12*4x = 216

0.06x + 0.48x = 216

0.54x = 216

x = 216/0.54

x = 400

 

So,

 

He invested $400 in 6% account and $1600 in 12% account.