Interest Compounded Annually. When P dollars is invested at interest rate i, compounded annually, for t years, the investment grows to A dollars, where
A = P(1 + i)^t.
Trevor's parents deposit $7800 in a savings account when Trevor is 16 years old. The principal plus interest is to be used for a truck when Trevor is 18 years old. Find the interest rate i if the $7800 grows to $9024.75 in 2 years?

Answer rating: 100% (QA)

Answer The interest rate r is 7565 Explanation Using the ... View the full answer