Shawn invested one half of his savings in a bond that paid simple interest for 2 years and received $500 as interest. He invested the remaining in a bond that paid compound interest, interest being compounded annually, for the same 2 years at the same rate of interest and received $555 as interest. What was the value of his total savings before investing in these two bonds? Choose the correct choice.
A) 2,000	B) 2,500	C) 4,000	D) 5,000	E) 6,000
So, we know that Shawn received 20% of the amount he invested in a year. We also know that in one year Shawn received $250, thus 0.2x = $250 --&gt; x = $1,250.   Since, he invested equal sums in his 2 bonds, then his total savings before investing was 2*$1,250 = $2,500.   Answer:2,500
<result>B</result>
Shawn invested one half of his savings in a bond that paid simple interest for 2 years and received $500 as interest. He invested the remaining in a bond that paid compound interest, interest being compounded annually, for the same 2 years at the same rate of interest and received $555 as interest. What was the value of his total savings before investing in these two bonds?