kevin invested part of his $10000 bonus in certificate

Question

Kevin invested part of his $10,000 bonus in a certificate of deposit that paid 6% annual simple interest, and the remainder in a mutual fund that paid 11% annual simple interest. If his total interest for that year was $800, how much did Kevin interest in the mutual fund?

Answer 1

11%+6%=$800

 

800 = 17%

X    =  11%

 

800 x 11

     17      =  $517 (mutual fund)

 

$517 (11%) + $283 (6%) = $800

 

 

Answer 2

Since you earn 6% on part and 11% on the other,

Do this

 

.06(x)+.11(10000-x)=800

 

.06x+1100-.11x=800

 

-.05x=-300

 

X=6000

 

So, 4000 must have been deposited into the mutual fund