One year ago, you invested $1,800. Today it is worth $1,924.62. What rate of interest did...

One year ago, you invested $1,800. Today it is worth $1,924.62. What rate of interest did you earn?

Multiple Choice

6.59 percent
6.67 percent
6.88 percent
6.92 percent
7.01 percent

Expert Solution

Option 4

Rate of interest to be earned=amount worth today/amount invested -1 =1924.62/1800-1 =0.069233=6.9233%=6.92%(approximately)

jeff jeffy answered 3 years ago

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