A person invests $15000 in two accounts paying 9.5% and 6.5% interest

Question

A person invests $15000 in two accounts paying 9.5% and 6.5% per year, respectively. After one year, the part invested at 6.5% earned $15 more than the part invested at 9.5%. How much money was invested into each type of account?

Answer 1

We know the total amount invested is $15,000, so the amount in each account must be x and $15,000 - x.

 

First account earnings:  0.095x

 

Second account earnings = 0.065 (15000-x)

 

We know the first account (9.5%) gained $15 less than the second account (6.5%), so if we add 15 to the first account the earnings should be equal.

 

0.095x + 15 = 0.065 (15000-x)

0.095x + 15 = 975 - 0.065x

0.160x = 960

x = 6000

 

15000 - x = 9000

 

The earnings of the two accounts are 570 and 585.