you invested 25,000 in two accounts paying 4% and 6% annual interest, respectively. if the total interest earned for the year was 1420, how much was invested at each rate

Answer 1

Let x = amount invested in the 4% account

25,000-x = amount invested in 6% account

Then

.04x + .06(25,000-x) = 1420 So, .04x - .06x + 1500 = 1420

or

.02x = 80 then, x = 80/.02 = 4,000

25,000-x = 21,000

So,

$4,000 was invested at 4%

$21,000 was invested at 6%