Use a calculator to solve the equation. Round to the nearest hundredth, if necessary.
-If P dollars is invested in an account at an annual interest rate of r, with interest compounded annually, after 2 years the amount A in the account is given by A = P . Use this formula to determine the interest rate if $ 5000 grows to $ 5618 in 2 years, with interest compounded annually.
A) 1.12%
B) 1.06%
C) 0.06%
D) 6%

Question

Use a calculator to solve the equation. Round to the nearest hundredth, if necessary.
-If P dollars is invested in an account at an annual interest rate of r, with interest compounded annually, after 2 years the amount A in the account is given by A = P  . Use this formula to determine the interest rate if $ 5000 grows to $ 5618 in 2 years, with interest compounded annually.
A) 1.12% 
B) 1.06% 
C) 0.06% 
D) 6%

Quizplus · Accepted Answer

The Answer of Use a calculator to solve the equation. Round to the nearest hundredth, if necessary.
-If P dollars is invested in an account at an annual interest rate of r, with interest compounded annually, after 2 years the amount A in the account is given by A = P  . Use this formula to determine the interest rate if $ 5000 grows to $ 5618 in 2 years, with interest compounded annually.
A) 1.12% 
B) 1.06% 
C) 0.06% 
D) 6%

Use a Calculator to Solve the Equation