An investor invested a total of $2,600 in two mutual funds. one fund earned 7% profit while the other earned 3% profit. if the investor’s total profit was $150, how much was invested in each mutual fund?

let x = amount invested at 3%

so, (2600 - x) is invested at 7%

.07 *(2600 - x) + .03 *(x) = 138

182 - .07x + .03x = 138

-.07x + .03x = 138 - 182

-.04x = -44

-.04x / -.04 = -44 / -.04

x = 1,100

so amount invested at 7% is (2600 - 1100) or 1500

consequently amount invested at 3% is 1100

$1,100 invested at 3%

$1,500 invested at 7%

Step-by-step explanation:

we know that    

The compound interest formula is equal to  

where  

A is the Final Investment Value  

P is the Principal amount of money to be invested  

r is the rate of interest  in decimal

t is Number of Time Periods  

n is the number of times interest is compounded per year

in this problem we have  

substitute in the formula above