Tyler has two savings accounts that his grandparents opened for him. The two accounts pay 10% and 16% in annual interest; there is $500 more in the account that pays 16% than there is in the other account. If the total interest for a year is $288, how much money does he have in each account?
A)$900 invested at 10%, $1,400 invested at 16%
B)$700 invested at 10%, $1,200 invested at 16%
C)$800 invested at 10%, $1,300 invested at 16%
D)$1,000 invested at 10%, $1,500 invested at 16%
E)$1,400 invested at 10%, $1,900 invested at 16%

Question

Quizplus · Accepted Answer

Let the amount in the account with 10% interest be x. Therefore, the amount in the account with 16% interest is x + $500. The total interest from both accounts is $288, which can be represented by the equation: 0.10x + 0.16(x + 500) = 288. Solving this equation gives x = $800 for the 10% account and x + 500 = $1,300 for the 16% account.

Tyler Has Two Savings Accounts That His Grandparents Opened for Him