Problema Solution

A college student earned $8900 during the summer vacation while working as a waiter in a popular resturant. The student invested part of the money at 10% and the rest at 7%. If the student received a total of $704 in interest at the end of the year, how much was invested at 10%.

Answer provided by our tutors

Suppose, the student invested $x at 10% interest and rest of the money $(8900-x) at 7% interest.

Interest of $x (@10%) after 1 year is $(10x/100) = $x/10.

Interest of $(8900-x) (@7%) after 1 year is $(7(8900-x)/100) .

Therefore, total interest after 1 year is $(x/10+7(8900-x)/100).

By the given condition,

x/10+7(8900-x)/100=704,

or, 10x+7(8900-x)=70400,

or, 3x=70400-62300=8100,

or, x=2700.

Thus, he was invested $2700 at 10% interest.