Question

Two investments totaling $61,500 produce an annual income of $2880. One investment yields 6% per year, while the other yields 4% per year. How much is invested at each rate?

Answer 1

ANSWER :

40,500 & 21,000

STEP-BY-STEP VERIFICATION:

Let one investment be x and another be 61500-x.

Then,

income from first investment(I¹)

$= 4\% \: of \: x \\ = 0.04x$

Again,

income from second investment(I²)

$= 6\% \: of \: (61500 - x) \\ = 3690 - 0.06x$

So,

Total income=I¹+I²

Or,

$2880 = 0.04x + 3690 - 0.06x$

Or,

$0.02x = 810$

$.°. \bf \: x = 40,500$

Again,

Another investment

$= 61,500 - 40,500 \\ = 21,000$

So, the two investments are Rs. 40,500 & Rs. 21,000.