A total of $10,000 is invested into 2 accounts.

Question

By the end of the year, the investment had grown to $11,518.75. The first fund's interest rate is 19.2%, while the other has a rate of 8.5%. How much of the $10,000 was invested into each fund?

Answer 1

Let X be amount invested in 19.2 % Fund, 10000 - X is remainder invested in 8.5 % Fund.

1.192 * X + (10000 - X) * 1.085 = 11518.75

1.192X + 10850 - 1.085X = 11518.75

Adding 1.192X and -1.085X terms:

0.107X + 10850 = 11518.75

Subtracting 10850 from both sides of equation:

0.107X = 11518.75 - 108750 => 0.107X = 668.75

Dividing Both sides of equation by 0.107 => X = 6250

6250 Invested in 19.2 % Fund

3750 invested in 8.5 % Fund