How much invested in each type of investment? Define the variables. Kelly invested her savings of $4800. She invested part in mutual funds, at 9%/yr & the rest in GIC at 10%/yr. At end of year, the...

How much invested in each type of investment?

Define the variables.

Kelly invested her savings of $4800. She invested part in mutual funds, at 9%/yr & the rest in GIC at 10%/yr. At end of year, the interest from mutual funds investment was $43 less than interest from GIC investment.

Expert Answers info

lfryerda eNotes educator | Certified Educator

calendarEducator since 2012

write738 answers

starTop subjects are Math and Science

Let x be the amount invested in the mutual fund and let y be the amount invested in the GIC.  

Since the amount at the end of an investment period is `A=P(1+i)` , this means that the interest at the end of the investment period is I=Pi:

The amount of interest at the end of the year for the mutual...

(The entire section contains 167 words.)

Unlock This Answer Now


check Approved by eNotes Editorial


widowspeak | Student

Let x = amount in mutuals, then we know the amount in GIC is 4800 - x. Hence:

x * 0.09 + 43 = (4800 - x)*0.1

this implies

0.19 * x = 4800*0.1 - 43

0.19 * x = 437

=> x = 2300

So $2300 was invested in mutuals and 4800-2300 = $2500 in GIC.

 

check Approved by eNotes Editorial