Tyler has two savings accounts that his grandparents opened for him. The two accounts pay 10% and 12% in annual interest; there is $400 more in the account that pays 12% than there is in the other account. If the total interest for a year is $158, how much money does he have in each account?

the amount of money in the account that earns 10% interest is $500

the amount of money in the account that earns 12% interest is $900

Step-by-step explanation:

Let x represent the amount of money in the account that earns 10% interest.

Let y represent the amount of money in the account that earns 12% interest.

There is $400 more in the account that pays 12% than there is in the other account. This means that

y = x + 400

The formula for determining simple interest is expressed as

I = PRT/100

Where

I represents interest paid on the loan.

P represents the principal or amount taken as loan

R represents interest rate

T represents the duration of the loan in years.

Considering the account that earns 10% interest.

P = x

R = 10

T = 1 year

I = (x × 10 × 1) = 0.1x

Considering the account that earns 12% interest.

P = y

R = 12

T = 1 year

I = (y × 12 × 1) = 0.12x

If the total interest for a year is $158, it means that

0.1x + 0.12y = 158 - - - - - - - - - - -1

Substituting y = x + 400 into equation 1, it becomes

0.1x + 0.12(x + 400) = 158

0.1x + 0.12x + 48 = 158

0.22x = 158 - 48 = 110

x = 110/0.22 = 500

y = x + 400 = 500 + 500

y = 900

what is the answer?