as a percent, pay on (a) What interest rate, to the nearest tenth of a percent, will the bank pay on a money market account with a term of 8 months? (Round your answer to one decimal place.) (b) What is the minimum number of complete months during which a person must invest to receive an interest rate of at least 3.0%? (Round your answer to the nearest whole number.) months

College Algebra
1st Edition
ISBN:9781938168383
Author:Jay Abramson
Publisher:Jay Abramson
Chapter6: Exponential And Logarithmic Functions
Section6.1: Exponential Functions
Problem 60SE: The formula for the amount A in an investmentaccount with a nominal interest rate r at any timet is...
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The function
r(t)
= 0.69607 + 0.60781 In t
gives the annual interest rate r, as a percent, a bank will pay on its money market accounts, where t is the term (the time the money is invested) in months.
(a) What interest rate, to the nearest tenth of a percent, will the bank pay on a money market account with a term of 8 months? (Round your answer to one decimal place.)
(b) What is the minimum number of complete months during which a person must invest to receive an interest rate of at least 3.0%? (Round your answer to the nearest whole number.)
months
Transcribed Image Text:The function r(t) = 0.69607 + 0.60781 In t gives the annual interest rate r, as a percent, a bank will pay on its money market accounts, where t is the term (the time the money is invested) in months. (a) What interest rate, to the nearest tenth of a percent, will the bank pay on a money market account with a term of 8 months? (Round your answer to one decimal place.) (b) What is the minimum number of complete months during which a person must invest to receive an interest rate of at least 3.0%? (Round your answer to the nearest whole number.) months
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