Problema Solution
roland invested some money at 6% and P40,000 less than this at 9% find the amount invested at each rate if the total annual interest income is P23,400.
Answer provided by our tutors
Let Roland invest
x at 6% interest rate then 40.000 less will be
x - 40,000 at 9% interest rate
total annual interest income = the anual interest income for the first investment + the anual interest income for the first investment
23,400 = 0.06*x + 0.09*(x - 40,000)
by simplfing and solving we find that
x = $180,000 invested at 6% rate
x - 40,000 = $140,000 invested at 9% rate
Roland invested $180,000 at 6% rate and $140,000 at 9% rate.