Elementary Algebra

Published by Cengage Learning
ISBN 10: 1285194055
ISBN 13: 978-1-28519-405-9

Chapter 3 - Equations and Problem Solving - 3.5 - Problem Solving - Problem Set 3.5 - Page 132: 42

Answer

3240 dollars will be invested at 4%. 2160 dollars will be invested at 6%.

Work Step by Step

Let X represent the amount of money invested at 4%. The remainder, which is 5400 - X, will be invested at 6%. From the first investment, we will receive 4% $\times$ X = 0.04X. From the second investment, we will receive 6% $\times$ (5400 - X) = 324 - 0.06X. Since both investments will produce the same amount of interest, we set them equal to each other and solve the equation. So: 0.04X = 324 - 0.06X 0.1X = 324 Divide both sides by 0.1: X = 3240 3240 dollars will be invested at 4%. 5400 - 3240 = 2160 dollars will be invested at 6%.
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