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Alina [70]
3 years ago
5

Sarah is going to invest $280 and leave it in an account for 9 years. Assuming the interest is compounded continuously, what int

erest rate, to the nearest tenth of a percent, would be required in order for Sarah to end up with $410?
Mathematics
1 answer:
4vir4ik [10]3 years ago
5 0

Answer:

4.2%

Step-by-step explanation:

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If $64,000 is invested in an IRA account with an annual interest rate of 8% compounded once a year, what is the value of the acc
Iteru [2.4K]

Answer: the value of the account after 6 years is $101559.96

Step-by-step explanation:

If $64,000 is invested in an IRA account, then

Principal = $64,000

So P = 64,000

The rate at which $64000 was compounded is 8%

So r = 8/100 = 0.08

If it is compounded once in a year, this means that it is compounded annually (and not semi annually, quarterly or others). So

n = 1

We want to determine the value of the account after 6 years, this means

time, t = 6

Applying the compound interest formula,

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

A = amount after n number of years

A = 64000( 1 + 0.08/1)^1×6

A = 64000(1.08)^6

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4 0
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