Marco has $\$8{,}000$ to invest. He puts part of it in an account earning $3\%$ interest and the rest in an account earning $8\%$. After one year, the total interest earned is $\$500$. How much did Marco put in the $3\%$ account?
A$\$1{,}500$
B$\$3{,}000$
C$\$5{,}000$
D$\$2{,}800$
Answer & Solution
Correct answer: D. $\$2{,}800$
Let $x$ be the amount invested at $3\%$. Then the amount at $8\%$ is $8{,}000 - x$.
Total interest: $0.03 x + 0.08 (8{,}000 - x) = 500$.
Distribute: $0.03 x + 640 - 0.08 x = 500$.
Combine: $-0.05 x + 640 = 500$.
Subtract $640$: $-0.05 x = -140$.
Divide: $x = 2{,}800$.
So $\$2{,}800$ is at $3\%$ (and $\$5{,}200$ is at $8\%$).
Check: $0.03(2{,}800) + 0.08(5{,}200) = 84 + 416 = \$500$ ✓.
- Trap D ($\$5{,}000$) reverses which account is which.
- Trap A and C miss the algebra.
The mixture model applies identically to coins and to investments: replace *coin value* with *interest rate* and the same equation structure does the job.
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