In 2007, Rachel borrowed $800 from a bank; she has repaid $2,700 after three years. At what rate of compound interest did the bank lend money to Rachel? (Interest is compounded annually). Hint: A = P (1 + r) n A - amount of money paid after n years P - principal amount r - interest rate n - number of years 0.1% 3% 50% 5.5% 8%

Question

Naomi Lowery

12 July, 06:39

+3

Answers (2)

Know the Answer?

Hadley Garza · Answer 1

R = ((2,700:800) ^ (1:3) - 1) * 100=50%

Bits · Answer 2

It should be about 50%