Problema Solution

An actor invests some money at 7% and $21000 more than twice the amount of 12%. The total annual interest earned from the investment is $25150. How much did he invest at each amount?

Answer provided by our tutors

let 'x' represent the money invested at 7%


$21000 more than twice the amount means he invested


21,000 + 2x he invested at 12%


The total annual interest earned from the investment is $25,150:


0.07x + 0.12*(21000 + 2x) = 25150


by solving we find


x = $73,000


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21,000 + 2*73,000 = 21,000 + 146,000 = $167,000


he invested $73,000 at 7% and $167,000 at 12%.