document.write( "Question 390153: This is a word problem.Three years ago, I depsited $600.00 in my account, and now I have 708.00. What is the interest rate on my account?
\n" ); document.write( " \n" ); document.write( "

Algebra.Com's Answer #276587 by Edwin McCravy(20055) $\"\"$ $\"About$

You can put this solution on YOUR website!
This is a word problem.Three years ago, I depsited $600.00 in my account, and
\n" ); document.write( "now I have 708.00. What is the interest rate on my account?
\n" ); document.write( "

\r\n" );
document.write( "A = P(1 + )^nt\r\n" );
document.write( "\r\n" );
document.write( "A = ending amount = 708\r\n" );
document.write( "P = beginning amount = 600\r\n" );
document.write( "r = rate expressed as a decimal (what we are to find)\r\n" );
document.write( "n = number of times a year the interest is compounded.  \r\n" );
document.write( "    This is not given, so we assume it to be 1, once a year.\r\n" );
document.write( "t = time in years = 3\r\n" );
document.write( "\r\n" );
document.write( "708 = (600)(1 + )^((1)(3))\r\n" );
document.write( "\r\n" );
document.write( "708 = 600(1 + r)³\r\n" );
document.write( "\r\n" );
document.write( "Divide both sides by 600\r\n" );
document.write( "\r\n" );
document.write( " = (1 + r)³\r\n" );
document.write( "\r\n" );
document.write( "1.18 =  (1 + r)³\r\n" );
document.write( "\r\n" );
document.write( "Take cube roots of both sides:\r\n" );
document.write( "\r\n" );
document.write( "1.056721805 = 1 + r\r\n" );
document.write( "\r\n" );
document.write( "Subtract 1 from both sides\r\n" );
document.write( "\r\n" );
document.write( ".056721805 = r\r\n" );
document.write( "\r\n" );
document.write( "As a percent that's 5.6721805%\r\n" );
document.write( "\r\n" );
document.write( "Edwin

\r
\n" ); document.write( "\n" ); document.write( " \n" ); document.write( "

\n" );