Further problem solving

Question

Larry Mitchell invested part of his $26,000 advance at 2% annual simple interest and the rest at 7% annual simple interest. If his total yearly interest from both accounts was $1,420, find the amount invested at each rate.

Answer 1

Larry Mitchell invested part of his $26,000 advance at 2% annual simple interest and the rest at 7% annual simple interest. If his total yearly interest from both accounts was $1,420, find the amount invested at each rate.

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invested in 2% a/c = x

invested in 7% a/c= 26000- x

interest from 2 % a/c = x*2% =x*0.02 =0.02x

interest from 7% a/c = (26000 - x) * 0.07 = 1820 - 0.07x

0.02x+1820-0.07x =1420

-0.05x =-400

x = 8000

invested in 2% a/c = x = 8000

invested in 7% a/c= 26000- x =26000 - 8000=18000

Answer 2

X+y = 26000

I = prt with t=1

X*0.02 + y*0.07 = 1420

2x + 7y = 142000

2x + 7(26000 - x) = 142000

2x + 182000 - 7x = 142000

-5x = -40000

x=8000

y = 18000