An investor wants to analyze the earnings of a mutual fund account. Three years ago, the value of the account was $21,000 and it is now worth $26,250(no additional deposits were made). If the account is compared to a bank account paying interest that is compounded continuously, what interest rate would the bank account have to pay to match the mutual fund accounts earnings?
An investor wants to analyze the earnings of a mutual fund account. Three years ago, the value of the account was $21,000 and it is now worth $26,250(no additional deposits were made). If the account is compared to a bank account paying interest that is compounded continuously, what interest rate would the bank account have to pay to match the mutual fund accounts earnings?
Chapter6: Exponential And Logarithmic Functions
Section: Chapter Questions
Problem 4PT: An investment account was opened with aninitial deposit of 9,600 and earns 7.4 interest,compounded...
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An investor wants to analyze the earnings of a mutual fund account. Three years ago, the value of the account was $21,000 and it is now worth $26,250(no additional deposits were made). If the account is compared to a bank account paying interest that is compounded continuously, what interest rate would the bank account have to pay to match the mutual fund accounts earnings?
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