Paula invested some money at 5% and $1000 more than that amount at 8%. If her total annual interest earned was $158, how much did she invest in each rate? Use the formula : I = Pr

Question

Paula invested some money at 5% and $1000 more than that amount at 8%. If her total annual interest earned was $158, how much did she invest in each rate? Use the formula : I = Pr

Answer 1

8(x+1000) + 5x = 15800

13x = 15800-8000 = 7800

x = 7800/13 = $600 at 5%

$1600 at 8%

.05(600 = 30

.08(1600) = 128

128+ 30 = 158