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work if possible on the exam sheet. Pe the original exam or complete photocopy JUL L a nt dides unless specified therwise. P
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Answer #1

Formula to calculate compounding interest rate -

r = n [ (A/P) 1/nt - 1]

r = Interest Rate

n = number of times interest compounded

A = Value of investment

P = Principal

t = Time

r = 2[ (6,704.19/5,000)1/2(8)-1]

r = 3.7 % per year

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