A mother wants to invest $6000 for her children's education. She invests a portion of the money in a bank certificate of deposit (CD account) which earns 4% and the remainder in a savings bond that earns 7%. If the total interest earned after one year is $ 360, how much money was invested at each rate?
How much money was invested in the CD account?
$
(Round to the nearest cent.)
How much money was invested in savings bonds?
$___
(Round to the nearest cent.)

Question

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Respuesta :

absor201 absor201 · Answer 1 · 2019-04-29T09:25:59+02:00

Answer:

Money invested in CD account: $2000

Money Invested in Savings Bond: $4000

Step-by-step explanation:

Given

Total amount=$6000

Let

x be the amount invested in CD at 4%

And

6000-x be the remaining amount invested in savings bond at 7%

So mathematically writing

0.04x+0.07(6000-x)=360

0.04x+420-0.07x=360

-0.03x+420=360

-0.03x=360-420

-0.03x= -60

x= -60/(-0.03)

x=$2000

So the amount invested in CD is $2000.

And the amount invested in savings bond is:

=6000-x

=6000-2000

=$4000 ..