Solve.
-Kevin invested part of his $10,000 bonus in a certificate of deposit that paid 6% annual simple interest, and the remainder in a mutual fund that paid 11% annual simple interest. If his total interest for that year was $700,
How much did Kevin invest in the mutual fund?
A)$8000
B)$3000
C)$1000
D)$2000

Question

Quizplus · Accepted Answer

Kevin invested $x in the certificate of deposit and $10,000 - x in the mutual fund. The equation for total interest is 0.06x + 0.11(10,000 - x) = 700. Solving for x gives $8,000 in the certificate of deposit, so $2,000 was invested in the mutual fund.

Solve. -Kevin Invested Part of His $10,000 Bonus in a Certificate