Question

A bank account has a beginning balance of $560.00. After 6 months, the balance in the account has increased to $572.60. What interest rate is being earned annually on this account?

Answer 1

C is the answer okay bob billy

Answer 2

The formula is
A=p (1+r)^t
A future value 572.6
P present value 560
T time 6/12 =1/2=0.5
R interest rate?
We need to solve for r
R=(A/p)^(1/t)-1
R=(572.6÷560)^(1÷0.5)−1
R=0.0455×100
R=4.55%