00:01
We've got some money to invest, $7 ,000, as a matter of fact.
00:03
We're going to put it in two different accounts, which we'll call x and y.
00:07
So 7 ,000 equals x plus y, the amount of money in x and the amount of money in y.
00:12
We know that account x pays at a rate of 6%, which, in decimal form, is equal to 0 .06, and y pays at a rate of 8%, or 0 .08.
00:23
We also know that the total amount of interest we earned is $520.
00:28
Thus, 0 .06 interest rate times x, amount of money in x, plus 0 .08y is equal to $520.
00:41
And with that we have two equations and two variables, so we can now solve these for x and y.
00:47
I'm going to start out by rearranging the first equation, that is this equation up here.
00:52
So doing some basic subtraction will give us x equals 7 ,000 minus y.
01:01
Now we have x in terms of y, and we can plug that into the second equation.
01:06
So we'll have 0 .06 times 7 ,000 minus y, plus 0 .08y equals 520...