 # Split Fund Interest with Principal of 4000 and Fund 1 = 10% and Fund 2 = 15% and Interest Paid = 430

Principal =
Fund 1 Interest = %
Fund 2 Interest = %
Total Interest paid =

An investment of 4000 was made one year ago.
Part of the investment was placed into an account paying s interest at 10%
The remainder of the investment was placed into an account paying s interest at 15%
After one year, you received a total of 430 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 4000 - x

## Calculate Interest Credit for Fund 1

Since Fund 1 credits interest using the simple interest method, we have 0.1x

## Calculate Interest Credit for Fund 2

Since Fund 2 credits interest using the simple interest method, we have 0.15(4000 - x)

## Set up a grid with fund details:

 Interest Paid Principal Interest Rate Fund 1 0.1x x 10% Fund 2 0.15(4000 - x) (4000 - x) 15% Total 430 4000 --

## Calculate x from the grid:

Since both Interest paid columns add up to the total interest earned of 430, we set up an equation
0.1x + 0.15(4000 - x) = 430
0.1x + 600 - 0.15x = 430
600 - 0.05x = 430

## Subtract 600 from each side:

600 - 600 - 0.05x = 430 - 600

-0.05x = -170

## Divide each side by -0.05

 -0.05x -0.05
 =
 -170 -0.05

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

x = 3400 ← Fund 1 Investment
This means we should 4000 - 3400 = 600 into Fund 2

3400 into Fund 1
600 into Fund 2

### How does the Split Fund Interest Calculator work?

Free Split Fund Interest Calculator - Given an initial principal amount, interest rate on Fund 1, interest rate on Fund 2, and a total interest paid, calculates the amount invested in each fund.
This calculator has 4 inputs.

### What 3 formulas are used for the Split Fund Interest Calculator?

1. Fund 1 investment is x
2. Fund 2 investment is T - x
3. Interest paid = Interest Rate * Investment

For more math formulas, check out our Formula Dossier

### What 3 concepts are covered in the Split Fund Interest Calculator?

interest
payment from a borrower or deposit-taking financial institution to a lender or depositor of an amount above repayment of the principal sum, at a particular rate
principal
The amount borrowed on a loan, before interest is charged
split fund interest