SOLUTION: $1500 was invested for 2 years in an account that pays interest compounded annually. What was the interest rate if the investment was worth $1800 after 2 years

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Question 814331: $1500 was invested for 2 years in an account that pays interest compounded annually. What was the interest rate if the investment was worth $1800 after 2 years
Answer by ewatrrr(24785) About Me  (Show Source):
You can put this solution on YOUR website!
 
Hi,
In General A+=+P%281%2Br%2Fn%29%5E%28nt%29
A = Accumulated Amount 1800
P= principal = 1500
r= annual rate = .
n= periods per year = 1 (annually)
t= years = 2
1800+=+1500%281%2Br%29%5E%282%29
1800%2F1500+=+6%2F5+=+%281%2Br%29%5E%282%29
sqrt%286%2F5%29+-+1+=+r+