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denis-greek [22]

3 years ago

12

An account had an initial deposit made and then interest was applied once a year at a fixed rate. The amount of money, in dollar

s, in the account after t years, was 103(1.02) t . What was the annual interest rate?

1 answer:

Cerrena [4.2K]3 years ago

8 0

The equation says
A=p(1+r)^t
A=103(1+0.02)^t
So the interest rate is
0.02*100=2%

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