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expeople1 [14]
4 years ago
14

Abigail is going to invest $98,000 and leave it in an account for 5 years. Assuming the interest is compounded annually, what in

terest rate, to the nearest tenth of a percent, would be required in order for Abigail to end up with $133,000?
Mathematics
1 answer:
tangare [24]4 years ago
4 0

A = P(1+r/n)^(nt)

133,000 = 98,000(1+x/1)^(1(5))

1.36 = (1+x)^5

1.063 = 1+x

x = .063 or 6.3%

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