A bank lent $1.2 million for the development of three new products, with one loan each at 6%, 7%, and 8%. The amount lent at 8% was equal to the sum of the amounts lent at the other two rates, and the bank's annual income from the loans was $88,000. How much was lent to each rate?

Answer 1

if the amounts are x,y,z for 6,7,8% respectively (in thousands), then we have

x+y+z = 1200
z = x+y
.06x + .07y + .08z = 88

x,y,z = 200,400,600

Answer 2

600