Two investments totaling $ 18,000 produce an annual income of $1370. One investment yields 7% per year, while the other yields 8% per year. How much is invested at each rate?

Question

Mathematics

Heaven Rice

8 December, 22:19

Two investments totaling $ 18,000 produce an annual income of $1370. One investment yields 7% per year, while the other yields 8% per year. How much is invested at each rate?

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Buds · Answer 1

Let amount invested at 6% be S

Then amount invested at 8% = 16,000 - S

We therefore have:.06 (S) +.08 (16,000 - S) = 1,140.06S + 1,280 -.08S = 1,140.06S -.08S = 1,140 - 1,280 -.02S = - 140 S, or amount invested at 6% = $ 7,000Amount invested at 8% = $16,000 - 7,000, or $ 9,000