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5 May, 01:54

You invest an initial $1,000 in an account that has an annual interest rate of 2.5%, compounded annually. How much money will you have in the account after 6 years? Round your answer to the nearest whole number.

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  1. 5 May, 02:35
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    1000 (1+2.5%) ^6=?
  2. 5 May, 05:48
    0
    The change is a growth of 2.5% so the factor will be:

    1 + 0.025 = 1.025

    N = 1000 (1.025) ⁶

    = $1,160
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