A $4,000 principal is invested in two accounts, one earning 3% interest and another earning 4% interest. If the total interest for the year is $126, then how much is invested in each account?

Answer 1

126=M(.03)+(4000-M)*.04)
where M is at 3 percent.

126=m(.03-.04)+160

M= 34/.01= 3400
and 4000-M=600