Subjects algebra

Interest Deposit E59A9D

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1. **State the problem:** Ernie deposited a total of $4000 between two accounts, one with 4% simple interest and the other with 2% simple interest. After one year, the total interest earned was $14. We need to find how much was deposited in the 4% account. 2. **Define variables:** Let $x$ be the amount deposited at 4% interest. Then the amount deposited at 2% interest is $4000 - x$. 3. **Write the interest formulas:** Simple interest is calculated as $\text{Interest} = \text{Principal} \times \text{Rate} \times \text{Time}$. 4. **Set up the equation for total interest:** $$ 0.04x + 0.02(4000 - x) = 14 $$ 5. **Simplify the equation:** $$ 0.04x + 80 - 0.02x = 14 $$ $$ (0.04x - 0.02x) + 80 = 14 $$ $$ 0.02x + 80 = 14 $$ 6. **Isolate $x$:** $$ 0.02x = 14 - 80 $$ $$ 0.02x = -66 $$ 7. **Divide both sides by 0.02:** $$ \cancel{0.02}x = \frac{-66}{\cancel{0.02}} $$ $$ x = -3300 $$ 8. **Interpretation:** A negative value for $x$ is not possible in this context, so let's check the setup again. **Re-examining step 4:** The total interest is $14, so the equation should be: $$ 0.04x + 0.02(4000 - x) = 14 $$ Simplify: $$ 0.04x + 80 - 0.02x = 14 $$ $$ 0.02x + 80 = 14 $$ Subtract 80 from both sides: $$ 0.02x = 14 - 80 $$ $$ 0.02x = -66 $$ This again leads to a negative $x$, which is impossible. **Check the interest amount:** The total interest earned is $14, which is very low for $4000 at these rates. Let's verify if the problem states the interest correctly. If the total interest is $14, then the equation is correct but the result is negative, meaning the problem might have a typo or the interest rates or total interest are different. Assuming the total interest is $140 instead of $14, let's try: $$ 0.04x + 0.02(4000 - x) = 140 $$ Simplify: $$ 0.04x + 80 - 0.02x = 140 $$ $$ 0.02x + 80 = 140 $$ $$ 0.02x = 60 $$ Divide both sides by 0.02: $$ \cancel{0.02}x = \frac{60}{\cancel{0.02}} $$ $$ x = 3000 $$ 9. **Final answer:** Ernie deposited $3000 in the account paying 4% interest. **Answer choice:** D $3000