Question
Margret initially invested $\$ 1500$ in a savings account where interest is compounded annually. If after 3 years the amount in the account is $\$ 1687.30$, determine the annual interest rate.
Step 1
The formula is A = P(1 + r/n)^(nt), where A is the final amount, P is the principal amount, r is the annual interest rate, n is the number of times interest is compounded per year, and t is the number of years. Show more…
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