College Algebra

Question

Scott invested a total of $9500 at two separate banks. One bank pays simple interest of 10% per year while the other pays simple interest at a rate of 6% per year. If Scott earned $806.00 in interest during a single year, how much did he have on deposit in each bank?

Answer 1

Sidra,

Two equations can be written.

x + y = 9500. represents a money equation.

0.10x + 0.06y = 806. is an interest equation.

Solve by eliimination

0.10x + 0.10y = 0.10(9500) -----> 0.10x + 0.10y = 950

and subtract to other equation. 0.10x + 0.06y = 806

0.04y = 144

solve for y and then find x

You could also use substitution