Latest exam Aptitude Question SOLUTION: Terry placed $15,000 in an account paying 6%. How much additional money should she deposit at 4% so that the average return on the two investments is 5.5%?

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(#M40138908) EXAM Numerical Ability question Keep an EYE

Terry placed $15,000 in an account paying 6%. How much additional money should she deposit at 4% so that the average return on the two investments is 5.5%?

Asked In exam (9 years ago)

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Louise Yara  (3 years ago)

Terry placed $15,000 in an account paying 6%, so 15,000(6%) = $900
It was asked "how much additional" hence, we are going to add them.
Let X be the additional money.

Full solution:

(15,000)(6%) + (4%)(X) = (5.5%)(15,000 + X)
900 + 0.04X = 0.055(15,000) + 0.055X
900 - 825 = 0.055X - 0.04X
0.015X = 75 (divide both sides to 0.015, we will get...)
X = $5000

Hope this helps :)

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