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↓Steps Explained:↓

An investment of 1000 was made one year ago.

Part of the investment was placed into an account paying s interest at 5%

The remainder of the investment was placed into an account paying s interest at 10%

After one year, you received a total of 80 in interest. How much was invested in each account?

Calculate Principal Amounts for each fund:

For Fund 1, we invest an unknown amount, let us call it x

For Fund 2, the remaining principal is 1000 - x

Calculate Interest Credit for Fund 1

Since Fund 1 credits interest using the simple interest method, we have 0.05x

Calculate Interest Credit for Fund 2

Since Fund 2 credits interest using the simple interest method, we have 0.1(1000 - x)

Set up a grid with fund details:

	Interest Paid	Principal	Interest Rate
Fund 1	0.05x	x	5%
Fund 2	0.1(1000 - x)	(1000 - x)	10%
Total	80	1000	--

Calculate x from the grid:

Since both Interest paid columns add up to the total interest earned of 80, we set up an equation

0.05x + 0.1(1000 - x) = 80

0.05x + 100 - 0.1x = 80

100 - 0.05x = 80

Subtract 100 from each side:

100 - 100 - 0.05x = 80 - 100

Cancelling the 100 on the left side, we get:

-0.05x = -20

Divide each side by -0.05

Cancelling the -0.05 on the left side, we get:

x = 400 ← Fund 1 Investment

This means we should 1000 - 400 = 600 into Fund 2

Final Answer