interest rate problem

[kalena1964]

You invest $25,000. Part of it earns 14% and part of it earns 16% interest. What is the most you can invest earning 14% interest to earn $3500?

 

[Loren]

You invest $25,000. Part of it earns 14% and part of it earns 16% interest. What is the most you can invest earning 14% interest to earn $3500?

One approach.

Let the amount invested at 14% be represented by x.
Let the amount invested at 16% be represented by y.

Use Amount of interest = principal X rate. You don't say for how long, so assume one year.

You should be able to build two equations in two unknowns and go from there. You supply the missing parts.

(1) x + y = ?
(2) .14x + .16y = ?

 

[Denis]

25000 * .14 = 3500 :shock:

Trick question?

If "part of it earns 16%" is not 0, then invest $24,999 at 14% and $1 at 16%: it'll take .9999942857.... of a year!

Silly problem, to say the least.