SOLUTION: Simple Interest 7. Suppose you purchase a six-year muni bond for $6000. The face value of the bond when it matures is $7620. Find the APR.

Algebra ->  Finance -> SOLUTION: Simple Interest 7. Suppose you purchase a six-year muni bond for $6000. The face value of the bond when it matures is $7620. Find the APR.       Log On


   

Question 1041189: Simple Interest
7. Suppose you purchase a six-year muni bond for $6000. The face value of the bond when it matures is $7620. Find the APR.
Answer by jorel555(1290) About Me  (Show Source):
You can put this solution on YOUR website!
7620-6000=1620
1620/6=270
270/6000=.045
So the APR is 4.5%. ☺☺☺☺