Question

Holly deposited $10,000 in an investment account. After 6 years the account is worth approximately $13,400. Which formula represents the value of the account after t years?

Answer 1

A=p(1+r)^t
13400=10000(1+r)^6
Solve to find the interest rate
r=((13,400÷10,000)^(1÷6)−1)×100
r=4.99%=5%