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29 April, 18:37

Trey Gorman invests $5,000 in a 1-year certificate of deposit that earns interest at an annual rate of 4% compounded monthly. The amount per $1.00 is 1.040742. How much interest will he earn at the end of one year?

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  1. 29 April, 22:32
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    The future value of his investment is $5,203.71. He would have earned an interest of $203.71 by the end of the year.
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