# Math Word Problem

• Jan 21st 2008, 07:12 PM
Tammy07
Math Word Problem
A bank loaned out \$15,000 to a college student. Part of this money was loaned at a rate of 6% per year, and the rest of the \$15,000 was loaned at a rate of 13% per year. If the bank received \$1390 in interest, how much was loaned at 6%?
• Jan 21st 2008, 07:20 PM
Jhevon
Quote:

Originally Posted by Tammy07
A bank loaned out \$15,000 to a college student. Part of this money was loaned at a rate of 6% per year, and the rest of the \$15,000 was loaned at a rate of 13% per year. If the bank received \$1390 in interest, how much was loaned at 6%?

how long was the loan active for?

assuming the interest collected was at the end of the first year:

let \$\displaystyle x\$ be the amoutn loaned at 6%. then \$\displaystyle 15000 - x\$ is the amount loaned at 13%

the interest on \$\displaystyle x\$ is: \$\displaystyle 0.06x\$

the interest on the rest is: \$\displaystyle 0.13(15000 - x)\$

the total interest is: 1390

thus, \$\displaystyle 0.06x + 0.13(15000 - x) = 1390\$

now solve for \$\displaystyle x\$
• Jan 21st 2008, 07:33 PM
mr fantastic
Quote:

Originally Posted by Tammy07
A bank loaned out \$15,000 to a college student. Part of this money was loaned at a rate of 6% per year, and the rest of the \$15,000 was loaned at a rate of 13% per year. If the bank received \$1390 in interest, how much was loaned at 6%?

Simple or compound interest?
How many years was the loan taken over?