If Alvin invests $5,500 today in a savings account, the money will grow to $8,500 at the end of Year 4. Assuming that the interest is paid once per year, the effective annual rate of the investment is _____.
A)10.8%
B)11.5%
C)12.2%
D)12.9%
E)13.6%

Question

If Alvin invests $5,500 today in a savings account, the money will grow to $8,500 at the end of Year 4. Assuming that the interest is paid once per year, the effective annual rate of the investment is _____. 
A)10.8%
B)11.5%
C)12.2%
D)12.9%
E)13.6%

Quizplus · Accepted Answer

The Answer of If Alvin invests $5,500 today in a savings account, the money will grow to $8,500 at the end of Year 4. Assuming that the interest is paid once per year, the effective annual rate of the investment is _____. 
A)10.8%
B)11.5%
C)12.2%
D)12.9%
E)13.6%

If Alvin Invests $5,500 Today in a Savings Account, the Money