Problem

An engineer in a developing country observes that his project bank account has grown from...

An engineer in a developing country observes that his project bank account has grown from 1,600,000 to 1,769,279 (local currency units) in 20 days with no deposits or withdrawals being made. He knows that the account earns interest compounded daily.

(a) What is the daily compound rate of interest, in percent, earned on the account?

(b) What is the effective annual interest, in percent?

(c) What is the nominal annual interest, in percent?

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