Aldo invested $5700 in an account that pays an annual interest rate of 2.2%, compounded monthly....
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Aldo invested $5700 in an account that pays an annual interest rate of 2.2%, compounded monthly. Answer each part. (a) Find the amount in the account after one year, assuming no withdrawals are made. Do not round any intermediate computations, and round your answer to the nearest cent. $ (b) Find the effective annual interest rate, expressed as a percentage. Do not round any intermediate computations, and round your answer to the nearest hundredth of a percent. Aldo invested $5700 in an account that pays an annual interest rate of 2.2%, compounded monthly. Answer each part. (a) Find the amount in the account after one year, assuming no withdrawals are made. Do not round any intermediate computations, and round your answer to the nearest cent. $ (b) Find the effective annual interest rate, expressed as a percentage. Do not round any intermediate computations, and round your answer to the nearest hundredth of a percent.
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SOLUTION a To find the amount in the account after one year we can use the formula for compound inte... View the full answer
Related Book For
Income Tax Fundamentals 2013
ISBN: 9781285586618
31st Edition
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
Posted Date:
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