Theodore invests a total of $22,500 in two accounts. The first account earned a rate of return of 10% (after a year). However, the second account suffered a 3% loss in the same time period.

Question

Theodore invests a total of $22,500 in two accounts. The first account earned a rate of return of 10% (after a year). However, the second account suffered a 3% loss in the same time period. At the end of one year, the total amount of money gained was $235.00. How much was invested into each account?

Answer 1

.10x - (22,500-x)(.03) = 235

.07x = 235 + .03(22500) = 235 + 3(225) = 235+ 675 = 910

x = 910/,=.07 =91000/7 = 13000

$13000 invested at 10%

$9,500 invested at 3%