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8 June, 16:58

Carlos makes a deposit of $945 in his bank account. 2 years later, his account balance was $1,030.05. What is the interest rate of his savings account?

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  1. 8 June, 17:02
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    The simple interest rate can be found from

    ... I = Prt

    ... 1030.05 - 945.00 = 945*r*2

    ... 85.05 / (2*945) = r =.045 = 4.5%
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