Tyler has two savings accounts that his grandparents opened for him. The two accounts pay 12% and 14% in annual interest; there is $550 more in the account that pays 14% than there is in the other account. If the total interest for a year is $272, how much money does he have in each account?
A) $700 invested at 12%, $1,250 invested at 14%
B) $750 invested at 12%, $1,300 invested at 14%
C) $850 invested at 12%, $1,400 invested at 14%
D) $900 invested at 12%, $1,450 invested at 14%
E) $675 invested at 12%, $1,225 invested at 14%

Question

Quizplus · Accepted Answer

Let x be the amount in the 12% account. Then, x + 550 is the amount in the 14% account. The equation for total interest is 0.12x + 0.14(x + 550) = 272. Solving this gives x = 750, so the amounts are $750 at 12% and $1,300 at 14%.

Tyler Has Two Savings Accounts That His Grandparents Opened for Him