What simple annual interest rate would cause a $110 deposit to grow to $120 in 2 years?
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A. B. C. D. E.Explanation
To solve this question, we have to rearrange the simple interest formula, I=PRT so that the R is by itself. Note that the I (interest) is equal to 10 (120 - 100). On the
BAII Plus, press 10 divide 110 divide 2 = to see the answer. On the HP12C, press 10 ENTER 110 divide 2 divide to see the answer.