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6 January, 22:52

An account pays 8% per year simple interest. In year 1, the amount in the account is $850. How much is in the account in year 6? A. $1190.00 B. $1130.00 C. $1209.85 D. $1248.93

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  1. 6 January, 22:56
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    In year 1 : $850

    In year 6 the amount is:

    $850 * 1.08^5 = $850 * 1.4693 = $1248.93

    Answer:

    D) $1248.93
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