Question

sam has invested $1950 part of it at 6% and the rest at 8% yearly investment . The yearly income on 8% investment was $46 more than twice the income from the 6% investment. how much did he invest at each rate

Answer 1

Let the amount invested by Sam at 6 % be $ x. Then the amount invested by Sam at 8 % is $ (1950-x).

The yearly income on the investment at 8% is $ (1950-x)*0.08 = $ 156- 0.08x. Also, the yearly income on the investment at 6% is $ x*0.06 = $ 0.06x.

Now, since the yearly income on 8% investment was $46 more than twice the income from the 6% investment, hence 156- 0.08x = 2*0.06x +46 or, 0.20x = 156-46 = 110. Hence x = 110/0.20 = 550. Then 1950-x = 1950-550 = 1400.

Thus, the amounts invested by Sam at 6 % and 8 % are $ 550 and $ 1400 respectively.