Problema Solution

Stacey's two student loans totaled 12000. One of her loans was at 6.5% simple interest and the other at 7.2%. After one year Stacey owed $811.50 in interest. What was the amount of each loan?

Answer provided by our tutors

let


x = the amount of the loan with 6.5% interest

y = the amount of the loan with 7.2% interest


Stacey's two student loans totaled 12000


x + y = 12000


after one year Stacey owed $811.50 in interest


0.065x + 0.072y = 811.50


by solving the system of equations


x + y = 12000

0.065x + 0.072y = 811.50


we find


x = $7,500


y = $4,500


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the 6.5% interest loan was $7,500.

the 7.2% interest loan was $4,500.