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 $900, how much did Kevin invest in the mutual fund?
A) $7000
B) $4000
C) $6000
D) $5000

Question

Quizplus · Accepted Answer

Let x be the amount invested in the mutual fund. Then, $10,000 - x is the amount invested in the certificate of deposit. The total interest is given by 0.06($10,000 - x) + 0.11x = $900. Solving this equation, we find x = $6000.

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